Decentralization FAQ

Decentralization isn’t one number — it spans several layers: who produces blocks (consensus), how many independent nodes enforce the rules, whether multiple software clients exist, who can change the protocol (governance), and how power is distributed politically. A chain can be strong on one and weak on another, which is why we grade across dimensions.

The Nakamoto coefficient is the minimum number of independent entities that would need to collude to compromise a network — to halt it or censor it. Higher is better. As a rough guide, below 5 is dangerously centralized, 5–20 is moderate, and above 20 is reasonably decentralized.

By Nakamoto coefficient, Cardano and Polkadot lead (50+), with Avalanche (~24) and Solana (~29) reasonably decentralized. Bitcoin and Ethereum score low on that single metric due to mining-pool and staking-pool concentration, yet lead on node count and credible neutrality — which is why our grades weigh several dimensions, not just one number.

Not fully — yet. L2BEAT grades rollups in stages: Stage 0 (operator-dependent), Stage 1 (forced-exit guarantees + a security council + upgrade delays), and Stage 2 (fully decentralized). In 2026, Arbitrum, OP Mainnet, Base, Starknet, Scroll and Ink are Stage 1, while zkSync Era and Linea are Stage 0 — and every major L2 still runs a centralized sequencer.

Because it measures mining-pool coordination, not the number of miners or nodes. A few large pools direct most hashpower, so the headline coefficient is small — but the individual miners are many and can re-point their hashpower to another pool at any time, and ~20,000+ full nodes independently enforce the rules. It’s a measurement quirk, not proof of capture.

Largely yes, with caveats. It has ~1M validators across many operators and the best client diversity of any smart-contract chain (no execution client above two-thirds in 2026). The open issues are staking-pool concentration (Lido and a few large stakers) and Geth still leading among execution clients.

Each grade is a synthesis of cited public metrics — Nakamoto coefficient (Chainspect/Nakaflow), validator/node counts, client diversity (clientdiversity.org), L2BEAT stage and sequencer status, and governance structure. They are an informed, opinionated assessment as of June 2026, not a precise score and not financial advice. See the methodology page for details.