- Justin Bons raised concerns about Cardano’s ‘genesis keys’ and disputed the decentralization claims.
- Despite the challenges, Cardano emphasizes strong development activity.
While the broader market rallied ahead of the upcoming Ethereum [ETH] The approval of an exchange-traded fund (ETF) has sparked a heated debate within Cardano [ADA] community.
The discussion focused on Cardano’s ‘genesis keys’, which are cryptographic keys used to sign and establish the first block of the Cardano blockchain in 2015. They were crucial for securing the chain and protecting the ledger from tampering.
However, the ‘genesis keys’ also control all the rules of the protocol.
Is Cardano centralized?
The debate was sparked by Justin BonsFounder and CIO of Cyber Capital.
In a thread on
Bons criticized ADA’s decentralization error, noting:
“Cardano has “genesis keys”; a multi-sig that rules all the rules!”
To further confirm his position, he emphasized:
“ADA is extremely centralized because this is uniquely captured in the protocol.”
In the long thread, he also recognized Cardano’s efforts in on-chain governance with the Voltaire upgrade. However, he believes that the “genesis keys” currently still ensure that ADA is centralized.
Conflicting views
Questioning the attitude of Bons, a self-proclaimed Cardano user, @JaromirTesartook to X (formerly Twitter) and said:
“Genesis Keys are just a tool to activate a hard fork (it’s just a change to the main protocol version).”
He added:
“Using Genesis keys has its set limits and capabilities… Very soon, governance will be in the hands of the Cardano community. Genesis keys lose functionality. ”
A further confirmation of the decentralization of Cardano, the creator of Cardano’s content @bigpeyYT added,
Source: big pey/X
Final thoughts
While “genesis keys” provide a practical method for customizing protocols, their centralized nature raises concerns among stakeholders.
Despite these concerns, the 10th largest cryptocurrency has shown all green numbers, with a huge jump of 5.03% in the last 24 hours.
Furthermore, Cardano saw a large transaction volume of 21.34 billion ADA in the last 24 hours, valued at $10.11 billion, according to InTheBlok facts.
Source: IntoTheBlock