Essential Features for Protocol Decentralization: A Response to Justin Bons

The introduction of the Edinburgh Decentralization Index (EDI) ignited discussions about the appropriate methods for accurately quantifying decentralization. Justin Bons was among the early critics of the EDI, arguing that it overly favored Cardano in its results. It’s worth considering the essential features a protocol should possess to enhance its decentralization, and whether Justin’s critique holds merit.

Features Of A Decentralized Protocol

Decentralization revolves around the distribution of decision-making authority. This can pertain to aspects such as block production, governance, or client diversification. As it stands, the EDI primarily provides information on block production, which will be the focus of the article.

The ultimate aim of decentralization is to prevent a single entity or a consortium of influential entities from monopolizing decision-making processes within the network. In an ideal scenario, each participant would possess equal voting rights, akin to the ‘one person, one vote’ principle observed in political elections. However, within the realm of blockchain, decision-making power is tethered to possessing an expensive resource. Consequently, entities with more resources wield greater decision-making power, embodying…