A decentralized version of Infura, the access point for most decentralized applications (DApps) to access real-time on-chain data from the Ethereum blockchain, is set to launch by the end of the year. This initiative aims to address the issue of centralization and provide a more reliable and censorship-resistant solution for accessing Ethereum.
Currently, Infura is controlled solely by ConsenSys, which has led to concerns about it being a single point of failure. In November 2020, when Infura went down, the MetaMask wallet and various centralized exchanges and DeFi projects were affected. Additionally, Infura faced criticism for complying with U.S. sanctions against Tornado Cash. However, being a U.S.-based company, ConsenSys had limited options in that regard.
To overcome these centralization issues, ConsenSys plans to establish a decentralized marketplace consisting of up to five different data providers, including Infura. These providers will be distributed globally, making access to Ethereum more reliable and resistant to censorship. By avoiding reliance on a single data service provider in a specific jurisdiction, DApps can maintain uninterrupted functionality.
Simon Morris, the Head of Strategy at ConsenSys, envisions building a TCP/IP-like architecture that cannot be regulated. While TCP/IP, the underlying protocol of the internet, cannot be regulated, the same cannot be said for the providers within the system. By creating a new architecture for Web3 and driving a paradigm shift, ConsenSys aims to ensure the growth and resilience of the decentralized ecosystem.
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Morris stated that both crypto native companies and major Web2 cloud providers have shown interest in participating in this decentralized version of Infura. While he did not explicitly mention Google Cloud or AWS, he highlighted that these providers see it as a potential source of significant business in the future.
The decentralized Infura initiative will undergo a federated phase, lasting approximately six months, to address any issues and ensure its smooth operation under centralized control. The specifics of who will govern the decentralized version, whether it be a decentralized autonomous organization (DAO) or a foundation, are yet to be determined. However, it is expected that the system will transition into a permissionless marketplace comprising various data providers by 2024.
The decentralization of Infura’s data providers is essential to prevent the risk of shutdowns through a single court order. This is particularly crucial for Web3 wallets like MetaMask, which heavily rely on Infura for data access. By decentralizing these data providers, the network becomes more resilient and less vulnerable to external influences.
In conclusion, the launch of a decentralized version of Infura heralds a significant step toward building a more robust and censorship-resistant infrastructure for Ethereum-based DApps. By distributing the data providers across different locations and involving both crypto native companies and major cloud providers, the aim is to create a more antifragile system. This move aligns with the broader objective of driving the paradigm shift toward a decentralized Web3 architecture that can foster innovation and growth while resisting regulatory control.
