Crypto Community Rejects Idea Of Bitcoin Chain Rollback For Binance
Rolling Back the Chain
The community push back against the idea of rolling back the theft of Binance's bitcoin is well understood from the standpoint that, a roll back of the blockchain is a drastic measure which has only been taken in situations that are drastically detrimental to the health of the entire network.
Such a roll back happen in 2010 when an inflation bug hit bitcoin, minting 184 billion BTC outside the bounds of the consensus held by the nodes on the honest chain. A software update was created by Gavin Andresen and Satoshi Nakamoto to purge the toxic transaction which created the newly minted bits.
Similar action would need to be taken to purge the transactions that sent Binance's bitcoin out of their hot wallet. This would require a majority of support from the network. If the roll back did hypothetically occur, it would mean that it was believed to be in the best interest of the network.
The fact that the community is outraged and shocked by CZ's idea of rolling back the chain shows that this doesn't have a large enough effect on the network to set the precedent of rolling back for an exchange that was exploited.
This is well understood even by CZ himself:
cons: 1 we may damage credibility of BTC, 2 we may cause a split in both the bitcoin network and community. Both of these damages seems to out-weight $40m revenge. 3 the hackers did demonstrate certain weak points in our design and user confusion, that was not obvious before.
— CZ Binance (@cz_binance) May 8, 2019
In The End
Even the "revenge" rollback idea thrown out by CZ wasn't appealing enough to the community. This means the effects of the hack don't out weigh the potential consequences of a rollback to reward miners with hacked coins.
Exchange security going forward will have to strengthen, because it looks like they probably won't ever be getting a bailout from the community.
