https://doi.org/10.1140/epjds/s13688-025-00610-5
Research
Concentration in governance control across decentralised finance protocols
1
LASIGE, Faculdade de Ciências, Universidade de Lisboa, Lisboa, Portugal
2
Institute of Finance and Technology, University College London, London, UK
3
DLT Science Foundation, London, UK
4
UZH Blockchain Center, University of Zurich, Zurich, Switzerland
5
Blockchain & Distributed Ledger Technologies Group, University of Zurich, Zurich, Switzerland
6
BRAN Lab, Network Science Institute, Northeastern University London, London, UK
Received:
26
February
2025
Accepted:
9
December
2025
Published online:
29
December
2025
Blockchain-based systems are frequently governed through tokens that grant their holders voting rights over core protocol functions and funds. The centralisation occurring in Decentralised Finance (DeFi) protocols’ token-based voting systems is typically analysed by examining token holdings’ distribution across addresses. In this paper, we expand this perspective by exploring shared token holdings of addresses across multiple DeFi protocols. We construct a Statistically Validated Network (SVN) based on shared governance token holdings among addresses. Using the links within the SVN, we identify influential addresses that shape these connections and conduct a post-hoc analysis to examine their characteristics and behaviour. Our findings reveal persistent influential links over time, predominantly involving addresses associated with institutional actors or smart-contracts, which hold significant fractions of token supplies across the sampled protocols. Finally, we observe that token holding patterns and concentrations tend to shift in with protocol valuations and dollar denominated Total Value Locked.
Key words: Decentralised finance / Governance / Cross-protocol influence / Complex networks
© The Author(s) 2025
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