Skip to main content

How Does Decentralization of Hashrate Distribution Contribute to Network Security?

Decentralization of hashrate means that the total mining power is spread across many independent miners and pools globally. This distribution prevents any single entity from gaining the 51% control needed for a malicious attack.

A highly decentralized network ensures that the economic cost of coordinating and executing an attack across multiple independent actors is prohibitively high, reinforcing the network's security.

What Is a ‘Mining Cartel’ and How Does It Relate to PoW Centralization?
How Do ‘Mining Pools’ Affect the Decentralization of PoW Networks?
Can a DAO Enter into Legally Binding Contracts with Traditional Entities?
How Does the Difficulty Adjustment Mechanism Affect the Cost of a 51% Attack?