It is a proposal to suggest a precautionary measure of 51% attack that may exist in the future.
I devised a policy for natural purification by apply handicaps, not hard-line measures.
Recently, the L1 task force team had a problem due to a sudden security issue and the member left.
This problem was caused by differences in ideology related to the security of the chain, not by specific profits. Therefore, it is an issue that cannot be said who is more right.
However, not all validators suddenly have the coding ability to purchase bare metal and operate validators. There are education, time and cost problems, and there are no benefits to it.
It is unrealistic to argue that the factory should be stopped and the domestic handicrafts should be done because of environmental destruction.
So I propose this idea that would meet the needs of both sides and yet be feasible.
It’s just a simple idea and it doesn’t force the L1 task force team to adopt it.
LUNC Coin belongs to TFL’s Terra Station, so technical consultations with TFL may be necessary for the proposal to be realized.
1. Node Provider Diversification Policy
The biggest problem with the current controversial topic is that one provider company has a over 51% share.
Of course, it would be best for all validators to run node servers in their own homes, but as I said earlier, it is practically impossible to realize immediately, and there are cost and safety issues.
And legislation that is compulsory on any issue is hard to succeed.
Therefore, if there are 5 validators provided by one node company, they can receive 100% staking ratio from the chain.
However, the staking reward ratio will be reduced sequentially by 10% from 6th validators.
When this handicap is applied, it can naturally resolve the concentration of all validators in a single node company. They will be find out another company or prepare bare metal.
Of course, if node providers apply a higher discount rate and the validator can benefit from more than 10% of staking compensation, they will use the service with a 10% handicap.
So you can add one more policy here.
2. Validator Delegate Decentralization Policy
Currently, the most problematic thing in LUNC is that too much voting power is concentrated in TOP 3 validators.
Nakamoto Coefficient is much lower than LUNA.
In order to solve this problem, I also considered the maximum staking limit on one validator, but it’s not a good idea to introduce coercion in all cases.
So I came up with an idea that when it’s more than 5% of the voting power, the reward for mining in this validator is gradually decreasing.
We call it coin mining. Even when you think about real-world mines, if there are too many miners in one mine, the amount of mining will decrease.
You can think of it as a similar concept. Handicap is applied rather than forcing to induce decentralization.
Perhaps applying these two proposals will help blockchain security.
Of course, this is not a fundamental solution. We’re exposed to a lot of dangers in this world. But I know there’s no world that’s 100% ideal, so We try to be as safe as possible.
A realistic alternative will be needed rather than an ideal solution.
I’m not sure if this proposal is technically possible. But I trust the technical capabilities of the L1 task force team.
I’m not in the dev team and I don’t run a validator node. Therefore, I would like to inform you that there is no conflict of interest.