With many altcoins alleged to be securities in the United States Securities and Exchange Commission’s (SEC) latest filing, the spotlight has switched to the decentralization narrative, which is at the heart of blockchain technologies.
Amidst this raging debate, the on-chain analytics firm published a report analyzing the degree of decentralization among different chains. Proof-of-stake network Solana [SOL], with an aggregate Nakamoto coefficient of 1.9, seemed to have outperformed its peers.
Solana ticks most boxes
The Nakamoto Coefficient, created by former Coinbase CTO Balaji Srinivasan, is a widely used measure of the decentralization of a blockchain. A higher value indicates that the network has numerous nodes and is thus more decentralized and safer.
Recovery on the cards?
The low volatility phase sucked trading energy out of the Solana network. As per DeFiLlama, the number of active users and transactions significantly dipped in the second half of May.
However, the last two days saw an uptick in activity as the user base increased by 28% on 8 June, the highest in over two weeks.
- Allegations of altcoins being securities in the SEC filing
- Decentralization narrative in the spotlight
- On-chain analytics report analyzes decentralization among different chains
- Solana [SOL] outperforms peers with Nakamoto coefficient of 1.9
- The Nakamoto Coefficient measures blockchain decentralization
- Recovery in Solana’s activity after a low volatility phase
- User base increases by 28% on 8 June