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The Evolution Of Centralisation on Cryptocurrency Platforms

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arxiv 2206.05081 v2 pith:PMZFEBLA submitted 2022-06-10 physics.soc-ph cs.CRecon.GNq-fin.EC

classification physics.soc-phcs.CRecon.GNq-fin.EC
keywords centralisationblockchaincryptocurrenciesyearsacclaimedactuallyalthougharray
verification ladder T0 review T1 audit T2 compute T3 formal
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More than ten years ago the blockchain was acclaimed as the solution to overcome centralised trusted third parties for online payments. Through the years the crypto-movement changed and evolved, although decentralisation remained the core ideology and the necessary feature every new crypto-project should provide. In this paper we study the concept of centralisation in cryptocurrencies using a wide array of methodologies from the complex systems literature, on a comparative collection of blockchains, in order to define the many different levels a blockchain system may display (de-)centralisation and to question whether the present state of cryptocurrencies is, in a technological and economical sense, actually decentralised.

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Cited by 1 Pith paper

Reviewed papers in the Pith corpus that reference this work. Sorted by Pith novelty score. Full citation record

  1. SoK: Measuring Blockchain Decentralization

    cs.CR 2025-01 conditional novelty 6.0 of 10

    A systematization of blockchain decentralization measurement plus an empirical factor analysis suggesting that in PoW systems participation and decentralization are distinct signals, while in PoS they align.

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