Block centralization describes a condition where the authority to produce or validate new blocks on a blockchain network becomes concentrated among a limited number of participants. This situation can compromise the network’s decentralized structure. Such concentration may arise from significant resource requirements or economic incentives.
Context
The distribution of mining or staking power in proof-of-work and proof-of-stake blockchain systems remains a persistent subject of scrutiny. Concerns about block centralization often relate to potential security risks, such as collusion or censorship, and the long-term resilience of the network against external pressures or internal manipulation.
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