Home Finance Messari Analysts Concerned about Ethereum and Solana Centralization

Messari Analysts Concerned about Ethereum and Solana Centralization

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Messari Analysts Concerned about Ethereum and Solana Centralization

Analyst company Messari, having studied the interaction of cloud companies and key smart contract projects, came to the conclusion that Ethereum and Solana are heavily dependent on web providers.

Most active Ethereum nodes are hosted on the servers of centralized cloud solution providers such as Amazon Web Services (AWS), which can “influence Ethereum through central nodes.”

“The top three cloud solution providers account for 69% of Ethereum’s top nodes,” the analysts said in a post.

According to Messari, over 50% of the nodes are on Amazon Web Services (AWS), over 15% on Hetzner and 4.1% on OVH. In addition, by data Ethernodes, Ethereum’s main nodes are controlled by Oracle (4.1%), Alibaba (3.9%) and Google (3.5%).

Back in a December 2020 report, Messari pointed out that the high cost of node infrastructure could leave Ethereum vulnerable. Now, the analytics firm’s concerns about blockchain centralization extend to Solana.

“72% of Solana’s core nodes are hosted by the same cloud solution providers as Ethereum nodes,” Messari said in a post.

According to Ethernodes, the main Ethereum nodes are geographically concentrated in the US (46.4%) and Germany (13.4%). Thus, the intervention of the government of one of these two countries can seriously affect the decentralization of Ethereum.

Back in 2018, researchers at Cornell University concluded that the two most popular blockchains, Bitcoin and Ethereum, are not as decentralized as they seem.

Source: Bits

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