A (New) Framework for Evaluating Degree of Decentralisation

I checked out the Ethereum Foundation website and found a detailed explanation, which I’ve simplified for you. So, a decentralized application (Dapp) is a type of application that runs on a decentralised network and is used by multiple users. It needs to meet certain requirements, such as being open-source (meaning the code is freely available for anyone to view and modify), using cryptographic algorithms (to ensure secure transactions), and having decentralised consensus (meaning decisions are made collectively by the network rather than a central authority).

Here’s a simple example: think of a Dapp as a digital marketplace, like eBay or Amazon. However, instead of being run by a single company, it’s powered by a decentralised network of users who can buy and sell goods directly with each other using cryptocurrency. Since the platform is decentralised and open-source, there’s no need for a middleman to oversee transactions, which can make the process faster, cheaper, and more secure.

I believe I have covered DApps definition. Let’s highlight a few issues specifically tied to their decentralisation level that deserve some attention.

Looking at the recent incidents such as Terra’s chain halt and the wormhole attack on Solana have actually raised questions about the true decentralisation and security of current blockchain networks. But still, Decentralised applications (DApps) proclaimed themselves as fully decentralised, yet there was no trusted guide to measure their true level of decentralisation.

This prompts me to understand more:

1. Why Decentralisation Level Matters ?
2. How to evaluate the decentralisation of Dapps ?

I’ll have ChatGPT tackle the first question (Just to be clear, I am not here to hype up ChatGPT!