Bitcoin Has Grown More Centralized: Here Are 3 Ways – Bitcoints

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Published on September 16th, 2015 | by bitcoin

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Bitcoin Has Grown More Centralized: Here Are 3 Ways

Bitcoin Has Grown More Centralized: Here Are 3 WaysAt the crux of the block-size limit debate in Bitcoin is an argument between scaling and securing the network.
There’s a certain amount of centralization that’s crept in — sort of boiling the frog.”
Back, who created Hashcash (the proof-of-work system used by Bitcoin), then pointed to three specific areas of Bitcoin that already are experiencing problems related to centralization.
Mining Pools
The problems associated with the centralization of Bitcoin mining pools are generally known by the overall Bitcoin community.
Lack of Full Nodes
The third type of centralization that Back sees in Bitcoin is the dwindling number of full nodes.
A full node is a node that enforces all rules of the Bitcoin protocol and contains a full copy of the blockchain.

Source: Bitcoinmagazine.com

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