Flow - 4. Decentralization Progress
The path for Flow has always been progressive decentralization over time. In the last year, various upgrades have enabled network participants to stake Flow, run nodes & validators, and more to drive the chain toward decentralization. Visualize that progress; how many nodes or validators are run on the network, & how does that compare with other chains? How much FLOW is staked, and by how many users? What else can you add to visualize the progress?
Observations on Distribution of average Amount by Action Type , the most value for UnstakedTokensWithdrawn is 88.45%
On Distribution of Volume base by action Tyoe, the most value is for DelegatorTokensCommitted and 37.78%.
On Monthly Number of Nodes by action, themost value for DelegatorTokensCommittedon 01 Feb 2023 is 121 and for UnstakedTokensWithdrawn the value is 56 on 1 Aug 2021 and on 1 Jan 2021 the TokensCommitted is 310.
On Monthly Number of Users by Action, the most value for DelegatorTokensCommitted is 9.03K
Observations
On Monthly Number of Users by Action Type, the most value for staking is on 1 March 2022 and is 9.05K and Claim Reward on 1 March 2022 is 2.81k and Unstaking on 1 october of 2021 is 2.35K
On Distribution of Monthly Total Volume Based ba action Type chart, the most value for Staking is 58.70% and unstaking is 40.29%.
on Monthly Transaction Type chart , staking on 1 March 2023 is 34K and on 1 March 2022 is 8.17K and on 1 October of 2021 is 2.79K for unstaking.
Observations
On Distribution of Cumulative Volume By Action Type chart, The Most Value for staking is 68.62%.
On Distribution of Cumulative Users by Action Type chart, the most value for staking is 61.59% and for Claim Reward is 28.10%.
On Distribution of Cumulative Transaction by Action Type chart, the Most Value for staking is 67.85%.
On Monthly Cumulative Volume Base by Validator type chart, On 1 March 2023 Execution is 2.632B and on 1 April 2023 the collection is 2.677B and Consensus is 2.677B and on 1 Jul of 2022 access is 1.466B and on 1 April of 2022 Verification is 2.677B.
Observations
On Monthly Unique Nodes by Validator Type chart, the most value on 1 April 2021, Verification is 55, Execution is 4,Collection is 100, Consesus is 122.
On Distribution of Cumulative Nodes Base on Validator Type chart, Consensus is 41.24% and Collection is 34.20% and Verification is 22.25%.
Observations
On Monthly Unique Users By Project Name chart, On 1 November of 2022, Flow Validator is 652, on 1 March 2022 accomplice is 888 and on 1 October of 2022 blocto is 7.72k and on 1 November of 2022 Samsung is 95 and on 1 JAN OF 2023 stake fish is 222 and on 1 March 2022 axlo is 227.
On Distribution of Cumulative Users By Project Name chart, the most value for Blocto is 76.66%.
Observations
On Monthly Unique Users By Validator Type chart, on 1 April 2021 Consensus is 297 and Collection if 2021 is 279 and on 1 August of 2021 verification is 344 and execution is 4.
On Distribution Cumulative Users By Validator Type chart , the most value for Verification is 42.15% and consensus is 29.00% and Collection is 28.64%.
Observation
On Top 10 Nodes with Net Flow Staked chart, the most value for Node_ID Blocto is 37.24M and for Flow validator is 31.442M and for staked is 23.12M and for Flipside is 9.755M and for Coinfund is 15.115M and for samsung is 6.127M and for accomplice is 13.161M and for figment is 28.702M.
On Top 10 Validator Type with most Net Staked Volume chart, Collection is 627.738M and Consensus is 649.264M and Verification is 627.74M.
On Top 10 Delegators with net staked volume chart, 0x5dc3fc329730c066 is 558.713M AND 0xe72ce32df935b2b4 is 627.738M and 0x6a7457b796dee457 is 90.55M and 0x0aabe4cf576e08ee is 627.74M
Observation
On Distribution of Total Nodes By Chain chart, the chain Osmo is the most value and is 38.32% and Near is 34.19% and Flow is 23.13%.
On Weekly Number Of New Nodes by Chain chart, the most value for 28 December of 2020 the flow is 270 and on 14 June 2021 osmosis is 69.
On Distribution of Total Nodes by chain chart, the most value for Flow is 43.32% and Near is 27.45%.
On Distibution of Cumulative Total Users by Chain chart, the most value is for osmosis is 64.32%.
On Distribution of Cumulative Total Stake by Chain chart, the most value for osmosis is 76.07% and flow is 14.06%.
What is Flow?
Flow is a blockchain platform that originally was designed for gaming purposes, but has expanded since its launch in 2020. The flow blockchain enables fast, low-cost transactions and supports smart contracts. It powers blockchain applications including NBA Top Shot, a non-fungible token (NFT) offering. Flow also has a native cryptocurrency that trades under the symbol FLOW.
If you are considering investing in FLOW, it’s essential to understand how flow works and compares to the leading blockchains. Here’s a closer look at flow, both the cryptocurrency and blockchain platform.
The flow blockchain was developed by Dapper Labs. Dapper Labs is also the team behind CryptoKitties, a blockchain-based game to buy, sell, create, and trade digital cats.
The flow blockchain was launched in conjunction with Dapper Labs’ NBA Top Shot, a blockchain-based digital collectibles marketplace that specializes in basketball cards.1 According to Dapper Labs, as of May 2022, the flow blockchain has processed more than 20 million NBA Top Shot transactions worth over $1 billion. Flow was first built as a tool for Dapper Labs’ game developers to meet their own needs, and later launched publicly to support other decentralized applications.
The coin supply is not capped, although the inflation rate of FLOW—the annual rate at which new tokens are generated as rewards leading to an increase in supply—is currently limited to 3.75%.
Staking on FLOW
Flow is a global network of computers working together to maintain the security and integrity of its users' data. This global network is made up of many individual nodes: software applications run by people. Every node in the network shares a small part of the responsibility to keep the network running smoothly and to ensure that other nodes are doing the same. This shared responsibility is sometimes called decentralization, because no single central node is solely responsible for the security and integrity of the network and the data it contains.
Node operators are what we call the people who run nodes. In order to connect their software applications as nodes on the network, a node operator must first purchase tokens. Every node operator has to temporarily give (or ‘stake’) a large number of their tokens to the network as a promise that they will not modify their node to do something that is against the rules of the network, like steal funds from users' accounts. This process of temporarily giving up tokens is called staking.
If a node ever breaks the rules defined by the network, a number of the node operator's staked tokens will be taken from them as a punishment. This process is automatic. Every node knows the rules defined by the network and automatically watches other nodes and reports them if they misbehave. Meanwhile, the network pays the node operator a reward from a mixture of transaction fees and newly minted tokens on a regular basis provided their node does not break the rules.
If a node operator breaks the rules, they lose the tokens they've staked. If they operate their node with integrity, they get rewarded with more tokens! This is the basic incentive that enables a decentralized proof-of-stake network, like Flow.
How Does Staking Work on Flow?
The Flow protocol maintains a list of node operators. The list contains important information about each node, like their public keys, node address, and what kind of node they are running. (Collection, Consensus, Execution, Verification, or Access) A node operator registers a node by submitting a transaction containing their node information and the FLOW they wish to stake. If they meet the requirements to run a node, then will be accepted to join the network!
Once a node is staking and operating properly, it will receive periodic reward payments, assuming it stays online and actively participates in the protocol without committing any actions that would harm the network, which we call slashable offenses. Once nodes have registered, they are required to operate for a protocol-specified timeframe. This timeframe is otherwise known as an Epoch.
How To Mine FLOW?
The flow blockchain uses a modified version of the proof-of-stake mechanism to achieve consensus, which means that cryptocurrency transactions are validated rather than mined. The flow network consists of nodes that perform specialized tasks. Flow’s blockchain divides tasks that are typically performed by a single validator among several network participants.
To process cryptocurrency transactions and add new blocks to the blockchain, flow relies on these four types of nodes:6
Consensus nodes: These nodes determine the presence and order of transactions on the flow blockchain. Execution nodes: They run the computations required to complete and verify flow transactions. Verification nodes: The activities of execution nodes are monitored and verified by verification nodes. Collection nodes: Collection nodes exist to enhance network connectivity and data availability across the flow blockchain.
Flow Proof of Stake
FLOW uses the Proof of Stake protocol as an efficient consensus mechanism. PoS requires less computational power and substantially less energy than the Proof of Work mechanism, which supports mining operations for validating transactions and generating new blocks. Thanks to the clever use of PoS and the distribution of data across nodes with divided tasks, Flow is scalable, decentralized, and secure.
Methodology
In this dashboard, I am going to perform an analysis of staking actions and delegators behaviour on FLOW.
For this purpose, the main table that I am going to use is flow.core.ez_staking_actions and Flow.Core.dim_validator_Lables
There are several type of actions on this table which I have classified them into 3 overall types:
Stake = DelegatorTokensCommitted & TokensCommitted Unstake = DelegatorUnstakedTokensWithdrawn & UnstakedTokensWithdrawn Claim Reward = DelegatorRewardTokensWithdrawn & amp; RewardTokensWithdrawn
Moreover, I am only considering Successfull transactions. For analysing the staked vs circulating $FLOW, I have extracted the circulating $FLOW from
Definitions
Stake: Staking is when you lock crypto assets for a set period of time to help support the operation of a blockchain. In return for staking your crypto, you earn more cryptocurrency.
Delegate: a process of contributing them to a public validator node to help it conduct PoS validation. By delegating to a trusted validator on a protocol such as Polkadot, Tezos, Celo, or NEAR, assets are put to work securing the network.
Nodes: Blockchain nodes are network stakeholders and their devices are authorized to keep track of the distributed ledger and serve as communication hubs for various network tasks. A Blockchain node's primary job is to confirm the legality of each subsequent batch of network transactions, known as blocks.
Validators: much like miners in a Proof-of-Work(PoW) network, are network nodes that operate in Proof of Stake (PoS) blockchains, also validating transaction blocks to the blockchain.
Conclusions
Flow aims to provide effective and efficient solutions for scaling to allow developers to create and build applications and NFTs on top of the Flow network. Thanks to efficient scaling and fast validations, Flow is one of the latest and one of the most prominent projects that tap into the potential of the market of NFTs and the development of blockchain-based games.
With NFTs and dApps growing in popularity, Flow has a chance to rank as one of the top blockchain networks of its kind. Join the crypto revolution and start your Flow journey today.
Flow is an exciting project because of what they have done for blockchain technology. The system runs fast and safely, at least for now, and will continue to grow in the future. Although there are still quite a few limitations on the number of programmers and the concentration of blockchain, we can still wait for a more transparent future when their solutions and next steps are applied in practice.
With the given information from the website which i have mentioned and the info which we have gathered from the blockchain databases i’m gonna say Near did a great job on making it self more decentralized than the other protocols which makes it so different, The one reason out of thousand of reasons which the web3 is getting famous is because of not being centralized and if a chain makes it self much decentralized so we are going to call it much valuable than the others and Near took its part on that one.
Taking the power out of the hands of top 10 validators compared to others and even seeing different top 10 validators on each months shows only the hopeful future of Near
Flow has fewer validators compared to some other blockchains like Solana, but the number of active nodes on the platform has been increasing over time.
The popularity of staking activities across different blockchains has decreased over time, which may be due to the bearish situation in the cryptocurrency market and security concerns with some blockchains.
In terms of decentralization, Flow has made good progress with the increasing number of delegators and nodes. However, there is still room for improvement compared to other blockchains.
