What Is a Sybil Attack and How Does Quadratic Voting Mitigate It?
A Sybil attack is when a single entity creates multiple fake identities or accounts to gain disproportionate influence. In a simple one-token-one-vote system, a whale could split their tokens across many wallets to appear as many voters.
Quadratic voting mitigates this by making the cost of increasing voting power through token splitting less effective. The cost of acquiring more tokens to vote quadratically is still the dominant factor, discouraging the creation of numerous fake identities.
Glossar
Voting
Governance ⎊ Voting within cryptocurrency, options trading, and financial derivatives represents a mechanism for stakeholders to exert influence over protocol parameters, listing decisions, or the direction of decentralized autonomous organizations (DAOs).
Sybil Attack
Architecture ⎊ The Sybil attack, within cryptocurrency, options trading, and financial derivatives, exploits the inherent design vulnerabilities of distributed systems reliant on identity-based consensus.
Quadratic Voting
Formula ⎊ The core principle employs a cost function where the expense to cast additional votes increases quadratically, typically requiring $n^2$ tokens for $n$ votes.
Sybil Resistance
Architecture ⎊ Sybil resistance, within cryptocurrency derivatives and options trading, fundamentally concerns the design of systems to mitigate the impact of malicious actors controlling multiple identities to gain undue influence.
Voting Power
Measure ⎊ Voting Power is the quantifiable metric representing the degree of influence a specific participant holds over the outcome of a decentralized governance vote, usually derived from the quantity of staked or delegated tokens they control.