Ethereum’s Merge: How serious is the threat of ‘regulatory capture’
Security, scalability and decentralization.
These are the core pillars that blockchain networks aim to build on and approve. However, striking the right balance is quite difficult, as most of the top networks, including Ethereum, has discovered.
Ethereum has struggled to uphold decentralization ever since the network rollback that undid the DAO hack. Recent events have also fueled questions regarding the compromise on decentralization. More so on how it will affect the network when it completes its transition to a Proof of Stake consensus mechanism.
Ex-Blockstream exec Samson Mow believes that most of Ethereum’s problems are the result of prioritizing tokenomics over decentralization. The analyst also believes that the transition to POS will make it easier for regulators to control the network.
<p lang=«en» dir=«ltr» xml:lang=«en»>#Ethereum’s problems are caused by constantly optimizing for tokenomics over decentralization, security, and resilience. It looks like the Merge and POS will lead to complete regulatory capture by centralized exchanges & staking platforms, and there’s no way out for them. Read more on ambcrypto.com
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