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Blockchain governance is a complex topic where competing visions of decentralization are at play. While Ethereum presents itself as one of the most influential platforms in the crypto space, Cardano founder Charles Hoskinson sees a different picture. According to him, Ethereum looks more like a “dictatorship” where Vitalik Buterin concentrates too much power. This criticism, while bold, raises deep questions about the true nature of decentralized governance and its use in the crypto world.
Ethereum: Decentralization or Hidden Centralization?
Charles Hoskinson’s accusation is straightforward: Vitalik Buterin would have too much influence on the development of Ethereum, making it a kind of “dictatorship”.
For Hoskinson, true decentralization can only work if no individual becomes the central figure in such a large network.
Nevertheless, Ethereum has always championed the idea of decentralization, where the community and stakeholders play a vital role in decision-making.
Hoskinson likens this situation to a dilemma that the Bitcoin network managed to avoid. Bitcoin chose an easier path for him, with an immutable protocol and no self-proclaimed leader.
The community follows a rigid consensus, which is a far cry from the rapid development of networks like Ethereum. According to Hoskinson, Bitcoin, while it has its own challenges, has not succumbed to the temptation to rely on a centralized leader. Ethereum, on the other hand, seems to have gone in the opposite direction, leaning heavily on Buterin’s vision.
It is true that Vitalik Buterin has always been a leading figure in the development of Ethereum, but to talk about a dictatorship from there? Proponents of Ethereum point out that the blockchain uses a combination of off-chain and on-chain governance, with the Ethereum Foundation, community, and major stakeholders playing a vital role in key decisions.
But as Hoskinson points out, if Buterin were suddenly removed from the equation, what direction would Ethereum go? A question that few are prepared to answer.
Cardano: a solution to the governance trilemma?
Cardano, a project by Charles Hoskinson, has often been presented as a more mature alternative to the governance issues facing networks like Ethereum.
However, it is important to approach this statement with nuance. Hoskinson clearly has a vested interest in promoting the Cardano, and like any “mother protecting her child,” naturally defends her creation with fervor.
The central idea behind Cardano’s management is to solve what Hoskinson calls the blockchain “trilemma”: finding a balance between efficiency, effectiveness and integrity.
Cardano relies on a system of delegated representatives elected by the community to make key decisions.
An organization called Intersect provides transparency to this process and ensures that power is not concentrated in the hands of a single individual. It may seem ideal on paper, but the implementation of these principles raises several questions.
In theory, this model aims to limit the risk of centralization. Hoskinson claims that unlike Ethereum, Cardano is not dependent on a central figure for its development. However, it’s hard to deny that it remains a very influential voice in its ecosystem for now.
Although he says its importance is fading over time, this transition is not yet complete. Time will tell if Cardano can actually function without the oversight of its creator.
In addition, it should be emphasized that Cardano’s transition to fully decentralized governance is still ongoing.
Hoskinson insists that, alive or dead, the project will continue its internal structures. However, this claim should be taken with a grain of salt: such complete decentralization is hard to achieve in practice, and other blockchains that have attempted this approach have often encountered unpredictable problems.
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Fascinated by Bitcoin since 2017, Evariste continued to research the topic. If his first interest was trading, now he is actively trying to understand all the developments focused on cryptocurrencies. As an editor, he strives to consistently deliver high-quality work that reflects the state of the industry as a whole.
DISCLAIMER OF LIABILITY
The comments and opinions expressed in this article are solely those of the author and should not be considered investment advice. Before making any investment decision, do your own research.