In the most recent IOHK whiteboard on the Cardano SL, (https://www.youtube.com/watch?v=f01got8H-1k&feature=youtu.be) Andrew mentioned only Heavy weight delegation is participated in the core protocol functions such as random number generation.
I am curious, since heavy weight delegation requires a high amount of ADA, would that mean if heavy weight staking is centralized, the network can be centralized as well, regardless of light weight delegations?
The details of how staking will work have not been released yet, however, there are still quite a few details out there if you look. I recommend you start on the cardano docs page - this is a good link: https://cardanodocs.com/cardano/balance-and-stake/
Its highly likely the staking mechanism will be gamed in that it will likely discourage centralization. As such I would expect some “sweet spot” of staked ADA for each node. Too much and incentives fall off. Right around 26m in on this video Philipp Kant refers to this https://youtu.be/dYTangDsias
Cardano, likely more than any other project out there, has spent a lot of time engineering this and I expect it will perform well against concerns like these and many more most people have not even thought about.
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