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Ethereum DeFi Apps Prove Centralized as This Rising Metric Shows: Willy Woo

Sat, 12/24/2022 - 20:00
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Yuri Molchan
Prominent crypto analyst Willy Woo believes that Ethereum is already being controlled by US government
Ethereum DeFi Apps Prove Centralized as This Rising Metric Shows: Willy Woo
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On-chain analyst Willy Woo has tweeted that he believes Ethereum to already be under control of the U.S. government, claiming that dApps built on the second largest blockchain are not decentralized at all and that transactions on Ethereum are not resistant to censorship.

In his tweet, Woo included a screenshot from and stated that 69% of Ethereum blocks are already compliant with OFAC (it has only been three months after the Merge upgrade was introduced in September).

OFAC is the Office of Foreign Assets Control, the entity that enforces United States economic sanctions. In October, the percentage of blocks compliant with OFAC suddenly went up from 9% to 51%. This compliance is to do with MEV-Boost relays, to which the production of ETH blocks is outsourced.

There have also been other concerns in the crypto community about Ethereum becoming centralized. The first one is that around 52% of Ethereum nodes are hosted by Amazon Web Services (AWS), a heavyweight infrastructure provider.

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The second one is that after Merge was implemented, only two entities have been in control of around 50% of the Ethereum network — Lido and Coinbase. This is where nearly 50% of all staked ETH has been held — 30.24% and 14.44%, correspondingly.

However, good news about this is that Lido is a DAO (Decentralized Autonomous Organization), so it allows anyone to join it to become part of the largest entity on Ethereum.

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About the author

Yuri is a crypto journalist interested in technology and technical innovations. He has been in crypto since 2017. Believes that blockchain and cryptocurrencies have a potential to transform the world in the future in many of its aspects. ‘Hodls’ major cryptocurrencies and has written for multiple crypto media outlets. 

His articles have been quoted by such crypto influencers as Tyler Winklevoss, John McAfee, CZ Binance, Max Keiser, etc.

Currently Yuri is a news writer at U.Today and can be contacted at