The University of Edinburgh and Input Output Global (IOG), the developer of Cardano network, has entered into a collaboration for creation of a blockchain decentralisation index, IOG made the announcement through its blog, as reported by Cointelegraph.
According to Cointelegraph, the new service is expected to utilise “research-based” methodology created at the university. It is believed that the Edinburgh Decentralisation Index (EDI) has been in development for a certain period and was introduced in Edinburgh on November 18, 2022, but is yet to be operational.
“The first step for the tracker is the creation of research papers detailing decentralisation metrics and a considered methodology for compiling them into an index, created by researchers at the University of Edinburgh. It will then operate in the same way as other industry indexes,” IOG stated.
On the basis of information by Cointelegraph, when unveiled, the EDI will give live tracking of assets “underpinned by a continuously calculated and reviewed methodology.” It is believed that there are currently no standards present around the decentralisation of digital assets.
“What we’re currently missing is universally accepted industry standards which define to what extent projects are decentralized. The EDI will allow us to ensure that users have full transparency around what they are participating in,” Charles Hoskinson, CEO, IOG, mentioned in a blog post.
Moreover, Cointelegraph noted that decentralisation is considered central to the determination of whether a cryptocurrency asset is a security, at least in the United States, where the matter is central to the future development of regulation.
(With insights from Cointelegraph)