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How to define ‘decentralization’?
A plethora of individuals has become fond of blockchain technology, mainly owing to the ‘decentralization aspect’ as it enables anybody to conduct transactions with other individuals, anywhere in the world, with no entity wielding power that can be used to block these transactions or enforce censorship.
Now, try to guess how many times did Satoshi Nakamoto mention the term ‘decentralization’ in the Bitcoin white paper? As a matter of fact, not even once. As it turns out, the concept of ‘decentralization’ does not merely revolve around transactions. Therefore, let’s consider the following definition:
A decentralized system is a kind of system that requires the users to make their own, individual, decisions. In such systems, there is no designated central authority making decisions in the name of all participants. Instead, each participant, also known as ‘peer,’ makes their own autonomous decisions pursuing their own self-interest that may collide with the goals of other peers. The participants directly interact with each other, share information, or, offer services to others. In an open, decentralized system, there are no limits or regulations for new users to access it. Likewise, any new participant can enter or leave the system at will.
We sincerely believe that one of the projects that offer the potential to operationalize the…
