The Scoop

How to mitigate liquid staking derivatives threatening Ethereum's decentralization

11.21.2023 - By The BlockPlay

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Superphiz is a long-time Ethereum community member and a became a vocal advocate for staking decentralization following the Ethereum 'Merge' to a proof-of-stake consensus mechanism last year.

In this episode of The Scoop, Superphiz unpacks how Ethereum's merge to proof-of-stake has caused liquid staking derivatives to pose a potential threat to Ethereum's credible neutrality, as well as the best pathways to mitigate the potential for staking centralization.

OUTLINE:

00:00 - Introduction

2:55 - Success of ‘The Merge’

5:28 - Ethereum Centralization Concerns

13:34 - Lido’s LSD Dominance

20:54 - Scaling Ethereum

25:33 - New Use Cases

27:37 - Closing Thoughts

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