Abstract: This paper proposed a flexible decentralized distribution network state estimation method in view of the increasing scale of the distribution network and the coexistence of hybrid measurement devices. The method was divided into two stages. The first stage was the confidential data negotiation: in the underlying layer (physical layer), the distribution network was divided into subareas and tie-line areas and then local data from different measurement equipment or users was processed to draft contracts. The second stage was the boundary contract settlement, which utilizes anomaly consensus mechanism to determine whether the contract is effective. The voting mechanism was adopted to verify the new block and prevent data tampering. An effective contract would generate block and be chained in existing blockchain. The verified boundary estimations were used as new pseudo- measurements to enhance the estimation accuracy of subareas. Simulation results show that the proposed method improves the estimation accuracy with ensuring subarea privacy, effectively suppress the influence of bad data, and can be applied to hybrid measurements with different measurement rates.