A popular Cardano ($ADA) influencer has recently explained that he believes Cardano has managed to find the “right balance between dream and reality” when commenting on the influence large financial institutions and miners have on both Bitcoin ($BTC) and Ethereum ($ETH).
In a tweet shared with their over 110,000 followers on the microblogging platform. Influencer ADA whale said that “large financial/mining conglomerates now run the two biggest cryptos.,” suggesting that large financial institutions – presumably including exchanges – and mining pools “run” BTC and ETH.
To ADA whale, this is the “antithesis of the original crypto dream of individuals running the networks. The whale added that Cardano has over 1,100 block-producing pools and non-custodial delegation to find the “right balance between dream and reality.”
The Cardano influencer’s comments from shortly after a report from blockchain analytics platform Nansen highlighted that five entities held 64% of all staked ETH ahead of Ethereum’s highly-anticipated Merge upgrade.
<!–
–>
<!–
–>
These entities, its worth noting, include cryptocurrency exchanges Kraken, Coinbase, and Binance, which hold ETH on behalf of their users. Staking services offered by exchanges allow users to stake ETH without meeting the 32 ETH threshold required to become validators on the network, and are, as such, rather popular.
Moreover, the leading entity when it comes to staked ETH is Lido Finance, which is a decentralized protocol offering users liquid staking services. Those who stake ETH via Lido receive stETH in return, representing their staked tokens. Nansen also clarified that the second-largest entity, dubbed “unlabelled” represents “all the unlabelled addresses combined.” And not a single entity.
Similarly, it’s important to point out that Bitcoin has major mining pools – including F2Pool, Binance’s pool, and AntPool – dominating its hashrate. These, however, are made up of thousands of smaller miners who may opt out of one pool in favor of another to stop a single entity from having control of 51% of the network’s hashrate.
As CryptoGlobe reported, ADA whale has last month explained they believe Cardano could become “bigger” than “anything seen in crypto before” if decentralized governance on the cryptocurrency’s network works out.
Image Credit
Featured image via Unsplash
