Flashbots are building over 82% of relay blocks, adding to the centralization of Ethereum


After completing the integration upgrade, Ethereum (ETH) To the Proof of Stake (PoS) The consensus mechanism, which helps the blockchain to become energy-efficient and secure. However, mining data reveals Ethereum’s heavy reliance on Flashbots – a single server – as building blocks, raising concerns about a single point of failure for the ecosystem.

Flashbots is a central entity dedicated to transparently and efficiently extracting the maximum extractable value (MEV), which acts as a relay for delivering Ethereum blocks. data From mevboost.org it shows that there are six active relays currently offering at least one block in Ethereum, namely Flashbots, BloXroute Max Profit, BloXroute Ethical, BloXroute Regulated, Blocknative, and Eden.

The relays are arranged according to the number of blocks delivered. Source: mevboost.org

As shown above, 82.77% of all migration blocks are found by Flashbots alone – which contributes significantly to the centralization of Ethereum.

related to Articles From BitMEX he highlighted the need for a complete redevelopment of Flashbots or a similar system to mitigate unexpected complications in the post-merger era. However, Flashbots proponents argue that the system is a decentralized autonomous organization (DAO) and will eventually become decentralized itself.

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Complete data on the dominance of Flashbots, analysis from Santiment shown That 46.15% of Ethereum’s PoS nodes are controlled by just two addresses.

“Since the merger has been successfully completed, the majority of blocks – somewhere around 40% or more – have been built by two addresses that belong to Lido and Coinbase. It’s not ideal to see more than 40% of blocks being settled by two addresses that belong to Lido and Coinbase,” said Ryan Rasmussen, crypto research analyst at Bitwise, “Two Providers, Notably a Centralized Service Provider (Coinbase).”