Germany sees the advantage of its early entry into the blockchain industry. Currently, Germany is the country with the second largest concentration of validating nodes for the leading altcoin Ethereum.
Germany operates one of the largest validator networks of the leading altcoin project
According to the 2022 German Blockchain report published by CV VC Labs, Germany operates one of the largest Ethereum validator networks in the world. The report provides a structural overview of the country’s blockchain ecosystem. He also notes that Germany accounts for about 6% of Europe’s Blockchain finance.
The European country has a 22.8% share of all Ethereum nodes. However, the United States leads the way with 45.3%. Both countries operate more than half of the entire Ethereum ecosystem, given the need for optimum decentralization.
According to the report, geographic decentralization means a lot for the overall decentralization of a network. Also in the report, experts underline that the risk of censoring or controlling transactions will be very high where only a few countries dominate the validating nodes.
As you know from Kriptokoin.com, the mission of the leading altcoin Ethereum is to be the world’s leading smart contracts computer. However, when verification is in the hands of a few players, this will be extremely difficult to do. On the other hand, the numbers have been increasing since last year. The percentage share of Ethereum validators in the US was 36.92% in 2021, while Germany’s share was 21.16%. Despite the continuous growth of the network, the density of validators still seems to be higher in certain regions.
Germany accounts for 6% of Europe’s Blockchain finance
In 2022 alone, Germany’s altcoin projects raised nearly $8 billion. Meanwhile, the total number of projects receiving funding has reached 220. Thus, the number of unicorns in the European country reached 34. The report shows that the country received 2.4% of the world’s venture funding and 6% of Europe’s Blockchain funding. Interestingly, the number of deals increased by 10% while the value of the venture fund decreased by 50% compared to the previous quarter.
Equally important, the largest share of funding went to early-stage altcoin projects, accounting for 72% of all financing deals.
Germany Blockchain report: Germany’s Blockchain funding percentage by world and EuropeMuch of 2022’s Blockchain funding went to innovations in Infrastructure and Development, where venture capitalists allocate over 55% of all funding. According to the pie chart below, DeFi ranks second with 27% funding percentage. It is followed by Non Fungible Tokens (NFT) with 6%.
Germany Blockchain finance by industry
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