Rise of Ethereum staking came at cost of higher centralization — JPMorgan

Ethereum co-founder Vitalik Buterin has actually admitted that node centralization is among Ethereums primary difficulties. In September 2023, he said that discovering a perfect option to manage this problem may take another 20 years.Magazine: Blockchain detectives– Mt. Gox collapse saw birth of Chainalysis

Thank you for reading this post, don't forget to subscribe!

The rise of Ethereum staking since significant network upgrades, the Merge and Shanghai, has come at the cost of greater centralization and lower staking yields, a new report by JPMorgan said.JPMorgan experts, led by senior managing director Nikolaos Panigirtzoglou, released a new investor note on Oct. 5, cautioning about the dangers stemming from Ethereums growing centralization.Market share of leading 5 liquid staking suppliers. Source: JPMorganThe top 5 liquid staking suppliers: Lido, Coinbase, Figment, Binance and Kraken, control over 50% of staking on the Ethereum network, JPMorgan analysts noted in the report, adding that Lido alone accounts for almost one-third. The report mentioned a case when Lidos DAO declined a proposition to cap the staking share at 22% of Ethereums total staking to avoid centralization.