Lido, Coinbase, Kraken and Binance stake majority of ETH. Does that matter?

Lido, Coinbase, Kraken and Binance stake majority of ETH. Does that matter?

The Ethereum network is nearing its final hours before the Merge, which will move one of the most important global blockchains from a proof-of-work (PoW) system of achieving consensus to proof-of-stake (PoS).

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The upgrade to the blockchain has raised concerns in the crypto community that Ethereum could become less decentralized — more centralized — by moving to PoS from PoW, the latter of which powers the Bitcoin blockchain, for example.

Concerns regarding an increase in centralization due to PoS on the Ethereum blockchain post-Merge may have some merit. The current Ethereum staking market — staking is how Ethereum token (ETH) holders could contribute to the Merge before its execution and how consensus and new tokens will be distributed afterward — isn’t as decentralized as some may think.

Source @TechCrunch

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