Is Solana Really Decentralized? A Validator Health Report

Recently, the Solana Foundation released its first report on the health of Solana’s network.

The initial report focuses on key metrics that assess the health of the validator network. Its total validator count and Nakamoto consensus are some of the key metrics.

The Nodes are Broken Down

According to Wednesday’s foundation report, Solana has more than 3400 validators on six continents. The validators are responsible to independently verify new transactions and store the Solana’s ledger state.

The foundation stated that “a large and diverse group of validator operators is essential to maintain an resilient, distributed, credibly neutral network for all world users.”

Validators can be divided into two groups: RPC nodes and consensus nodes.

Consensus nodes propose and verify new blocks for the network, while also verifying those proposed by other network nodes. The likelihood of a transaction being tampered with is lower if there are more Consensus Nodes.

Remote Procedure Call (RPC), nodes that act as consensus nodes but also serve as an “application gateway” for Solana infrastructure, are in the meantime. These nodes provide an easy way for users to connect to the Solana core network in a way that is specific to their application.

More than 1900 Solana validators are consensus nodes. Since June 2021, the average monthly membership to the network has been 95 consensus nodes and 99 RPC nosdes.

Distribution and Nakamoto Coefficient

Solana’s “Nakamoto coefficient” is 31. This metric is the minimum number required to compromise the consensus of a network. It is commonly 33.4%.

Solana’s proof-of-stake mechanism is responsible for the relatively low Nakamoto coefficient in comparison to the validator count. The proof of stake mechanism gives those who stake more SOL greater control over the network’s consensus status.

Coincarp claims that despite 9 million holders, only the top 100 SOL holders control 30.81%. The report also noted that 33% of active stake is not held by any of the major data centers that run Solana nodes.

Geographically, approximately 50% of Solana’s stake is concentrated in just three countries: Germany, the United States and Ireland.

This is better than Ethereum’s 45% concentration in the U.S., according to the foundation. This statistic will be irrelevant as Ethereum will transition to a proof-of-stake consensus model in September.

The post Is Solana Really a Decentralized System? CryptoPotato’s first post was A Validator Health Report.

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Marla Brooks

Marla Brooks – Financial Analysis My name is Marla Brooks, and I am the mainstream behind the”observednews.com”  for the powerful and most delicate insights into the latest activities in the financial analysis category. I started my journey as an independent financial consultant. I had approximately nine years of experience in this field. I am free soul so; my passion for exploring the world has taken me to the nations across the globe and given me the chance to report for a portion of the best news associations. Currently, I am a full-time editor as experienced in finance and started to use my abilities.

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