CENNZnet
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CENNZnet

Are we Decentralised yet?

The bootstrap phase of a public blockchain network is critical. Decentralisation is an ideal state of a blockchain network, not an inherent starting point. However, by combining careful design, economic incentives, and a supportive, active community, a network will move towards decentralisation over time. This allows participants to join and leave without compromising the network’s security.

A new blockchain network naturally starts with a centralised governance model. This is because network decisions need to be made by those who deeply understand the specifics of the particular blockchain, and initially this knowledge will only exist for those who built it.

Consider bitcoin, the original development team made the decisions. Once the network was live, developers and the few miners who existed worked together (or against each other) to govern the network, and this is still the case today.

We are now in a new era of blockchain where governance can happen on-chain by participation in DAO like systems. This is a step towards decentralisation, allowing more of a network’s participants to govern its direction. At Centrality, decentralisation is a goal we strongly believe in and will continue to guide CENNZnet towards.

Validator Growth Plan

Today CENNZnet has 17 active validator slots represented by 5 different pools. The protocol relies on CENNZ holders to elect trustworthy validators to fill those positions and secure the network.
This has been the very first step towards CENNZnet’s decentralisation and towards community ownership.

While CENNZnet is in the decentralisation bootstrap phase, Centrality is committed to grow CENNZnet in the following ways:

  1. Onboard up to 4 new validators through existing partnerships
  2. Increase the maximum validator slots by 1 per week so long as both of the following conditions are met. There is a validator node waiting to claim the slot and secondly, accepting the validator would not give majority control to any one staking pool

Centrality will nominate the new validators helping to even out the stake distribution and network security. This process will allow CENNZnet to grow to as many as 50 active validator slots by the end of 2021.

By that time CENNZnet will be safely out of the bootstrap phase and these decisions will be subject to decentralised, on-chain governance processes requiring votes from CENNZ holders.

To stay up-to-date on the progress of our technology, follow us on Twitter, Telegram, LinkedIn, Discord and Instagram.

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