Ethereum Foundation researcher Toni Wahrstätter published a proposal introducing native UTXOs claiming 99.8% reduction in permanent state use for payment workloads. Cardano co-founder Charles Hoskinson accused Ethereum of copying Cardano's EUTXO model without credit, stating the concept mirrors Cardano's decade-long work. The proposal remains in research phase with no formal EIP filed. Hoskinson argued earlier this month that Ethereum's inner circles refuse to mention Cardano despite attempting to copy EUTXO, which he called the biggest innovation in smart contracts.
Wahrstätter Proposes Native UTXOs for Ethereum State Reduction
Wahrstätter published a proposal introducing native unspent transaction outputs (UTXOs) as one-shot payment objects on Ethereum, meaning the objects would exist only temporarily rather than creating permanent account records. Wahrstätter wrote that the model could reduce permanent state use by roughly 99.8% for payment workloads that do not require persistent state.
The proposal builds on Ethereum's upcoming Frame Transactions standard, EIP-8141, and aligns with co-founder Vitalik Buterin's Lean Ethereum roadmap, an initiative aimed at simplifying the network's architecture and slowing state growth. The proposal remains in the research phase, and no formal Ethereum Improvement Proposal (EIP) has been filed.
Hoskinson Claims Ethereum Copied Cardano EUTXO Without Attribution
Hoskinson responded by arguing that the concept mirrors work Cardano has spent roughly a decade developing. He noted earlier this month: "It's literally a crime in the Ethereum inner circles to mention Cardano. EUTXO is the biggest innovation of the smart contract world and Ethereum cannot mention it as they literally try to copy it."
Cardano's Extended UTXO model extends Bitcoin's original UTXO transaction structure to support smart contracts, an approach Hoskinson has argued offers more predictable transaction execution than Ethereum's account-based model. Hoskinson said deterministic transaction behavior, transactions that execute the same way regardless of network conditions, remains one of Cardano's strongest competitive advantages. He said predictable execution reduces unexpected failures, minimizes network congestion, and creates a more secure foundation for decentralized finance (DeFi) applications.
Cardano Published Chimeric Ledgers Paper Before Ethereum Proposal
Hoskinson said Cardano's team published a paper called "Chimeric Ledgers" explaining how to run UTXO-based and account-based systems in parallel, work he says predates Ethereum's current proposal by years. Ethereum developers have not directly responded to Hoskinson's copying allegation, and Wahrstätter's proposal has not credited Cardano's EUTXO work in its public documentation.
Hoskinson has repeatedly criticized Ethereum's architecture and governance throughout July, arguing that Ethereum lacks an onchain treasury capable of sustainably funding long-term development. He has also used recent public appearances to defend Cardano's slower, research-driven development philosophy against critics who argue the network has moved too cautiously since its 2017 launch. Hoskinson maintains that Cardano's real competitive edge lies less in any single feature and more in its overall engineering philosophy.
FAQ
What did Toni Wahrstätter propose for Ethereum?
Toni Wahrstätter, an Ethereum Foundation researcher, published a proposal introducing native unspent transaction outputs (UTXOs) as one-shot payment objects on Ethereum. Wahrstätter wrote that the model could reduce permanent state use by roughly 99.8% for payment workloads that do not require persistent state. The proposal builds on Ethereum's upcoming Frame Transactions standard, EIP-8141, and remains in research phase with no formal Ethereum Improvement Proposal (EIP) filed.
Why did Charles Hoskinson accuse Ethereum of copying Cardano?
Charles Hoskinson argued that Wahrstätter's UTXO proposal mirrors work Cardano has spent roughly a decade developing through its Extended UTXO (EUTXO) model. Hoskinson said Cardano's team published a paper called "Chimeric Ledgers" explaining how to run UTXO-based and account-based systems in parallel, work he says predates Ethereum's current proposal by years. He stated earlier this month that "EUTXO is the biggest innovation of the smart contract world and Ethereum cannot mention it as they literally try to copy it."
What is Cardano's Extended UTXO model?
Cardano's Extended UTXO model extends Bitcoin's original UTXO transaction structure to support smart contracts. Hoskinson has argued the approach offers more predictable transaction execution than Ethereum's account-based model. He said deterministic transaction behavior, transactions that execute the same way regardless of network conditions, reduces unexpected failures, minimizes network congestion, and creates a more secure foundation for decentralized finance (DeFi) applications.
