Part 6/15:
A core concept introduced is the Nakamoto coefficient, a measure of a blockchain’s decentralization. It indicates how many entities would need to be compromised to threaten the consensus mechanism of the network. A higher coefficient signifies greater decentralization and resilience against censorship or manipulation.
Gary Gensler’s recognition of Nakamoto’s importance suggests that a blockchain’s degree of decentralization could influence how regulators view it. The speaker notes that Bitcoin, with a Nakamoto coefficient of around 7,349, remains the most decentralized chain by far—making it less vulnerable to regulatory threats. Ethereum scores around 34, but that number is fluid, affected by staking pools and validator concentration.