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Most of the outstanding token supply is still held by the Stellar Foundation to be distributed. In my books, that means that it's still pretty centralized, but
by otoburb 9y ago
Most of the outstanding token supply is still held by the Stellar Foundation to be distributed. In my books, that means that it's still pretty centralized, but much less so than other ICOs or early coins that seem like outright scams.
The most charitable interpretation is that Stellar is on the right path to decentralization.
- StavrosK 9y agoBut that means that every cryptocurrency is centralized, if I buy enough of it, which makes the term meaningless.
- otoburb 9y agoIf you remove the current state of the token supply, then I'd say that Stellar seems to be relatively decentralized as evidenced by the number of verified validators not under direct control or ownership by the Stellar Development Foundation (around 13% by number; don't know the validator splits by volume).
- staplers 9y agoActually the term does have meaning: https://en.wikipedia.org/wiki/Cornering_the_market https://en.wikipedia.org/wiki/Cornering_the_market "Although there have been many attempts to corner markets by massive purchases in everything from tin to cattle, to date very few of these attempts have ever succeeded; instead, most of these attempted corners have tended to break themselves spontaneously."
- StavrosK 9y agoWhether a cryptocurrency is centralized or decentralized has a specific technical meaning, namely whether a party is, by design, in control of the security or trust of the currency and can unilaterally make decisions. By that definition, Bitcoin is decentralized and Ripple is not.
- Lewton 9y agoHow does that make the term meaningless? If you owned 90% of a crypto currency it would indeed be centralized If someone owns the vast majority of a crypto currency, they have a lot of control over the price And since stellar is centralized in that way on purpose, I don’t see how calling it centralized is inaccurate