More than $84 billion Ethereum (ETH) is now staked, equivalent to 28.3% of the total supply. However, the dominance of the three major platforms—Lido, Binance, and Coinbase—which control nearly 40% of all validators, raises serious concerns about the decentralization of Ethereum.
Imagine, if one of these three giants encounters issues, more than 40% of new Ethereum blocks could be affected! Lido leads with 25% of staked ETH, followed by Binance and Coinbase at around 7.5% each. Additionally, nearly 20% of ETH is locked in the long term, potentially increasing market volatility and tightening DeFi lending conditions.
Will this concentration of power threaten the decentralized future of Ethereum?