Cardano Hits New Decentralization Milestone with Record Nakamoto Coefficient
Cardano has reached a new milestone in its decentralization journey, boasting an all-time high Nakamoto coefficient of 16. This significant achievement signifies stronger censorship resistance and a network controlled by many parties rather than a few.
The Nakamoto Coefficient is a measure of how decentralized a blockchain is, with the higher number indicating more parties required to collude against it. In Cardano's case, this coefficient is computed across stake pools, validators, or block producers, making it a crucial indicator of decentralization.
According to Web3 blockchain fundamentals tracker Chainspect, Cardano has set a new record in decentralization, outperforming previous milestones. This achievement is particularly notable given the recent rise in ADA's price, which climbed to $0.199 on August 4 for the first time in a month.