Ethereum’s decentralization is facing renewed scrutiny as new research shows that nearly one-third of node activity sits in the United States. The Cambridge Centre for Alternative Finance said about 31% of Ethereum node activity is hosted in the U.S., while roughly 39% sits across the European Union, excluding the United Kingdom.
Researchers said the network remains globally distributed overall. Even so, they warned that concentration across jurisdictions and cloud providers needs close monitoring.
The Cambridge Centre for Alternative Finance said Ethereum’s node activity is spread across several regions. Still, the U.S. and EU account for a large share of the network’s infrastructure. That distribution matters as Ethereum’s consensus design depends on broad participation. The network can tolerate many failures, but researchers noted that if more than one-third of validators go offline at once, finality can stop.
The study also said validators sit behind different nodes, which makes exact measurement difficult. As a result, researchers said the link between hosting location and validator concentration remains hard to map with precision.
The report also found strong concentration among commercial cloud providers. Hetzner, Amazon Web Services, and OVHcloud host a significant share of Ethereum nodes, according to the research. That pattern raises resilience questions beyond the blockchain protocol itself. If a few providers carry much of the load, infrastructure risk can grow even when the network code remains distributed.
The findings also revive a legal debate that has followed Ethereum for years. In 2022, the U.S. Securities and Exchange Commission argued in court filings that Ethereum transactions could fall under U.S. securities jurisdiction since much of the validation activity occurred in the United States.
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The Cambridge research also updated Ethereum’s environmental profile after its shift to Proof-of-Stake. It estimated annual electricity use at about 7.9 gigawatt-hours. That figure marks a drop of roughly 99.98% from Ethereum’s energy use before The Merge in 2022. The network’s transition sharply reduced its power demand.
Researchers also estimated that more than 56% of the network’s electricity now comes from sustainable sources. That share exceeds the current global average. Ethereum moved from Proof-of-Work to Proof-of-Stake in September 2022. Since then, the network has drawn more institutional attention through tokenization, stablecoins, and decentralized finance.
The Cambridge Centre for Alternative Finance periodically studies blockchain infrastructure, energy use, and decentralization. Its latest report extends that work by examining both geographic distribution and hosting concentration.
Cambridge research found that Ethereum node activity remains globally distributed but is concentrated in the United States and the European Union. The study also identified reliance on major cloud providers and confirmed Ethereum’s lower energy consumption after The Merge. Monitoring infrastructure distribution remains important as blockchain adoption expands.