When implementing the LCMS project we focused on using innovative technology to the maximum, and our goal of creating a decentralized, transparent and honest product is here to stay. This is why we want our users to know more about what decentralization means.
Decentralization is a process of distributing the power among all the participants of a system, without a central governing body. Today, the majority of traditional financial and state systems are centralized, and this approach is plagued with flaws. The main issue is that they have points of failure: a security breach or a central server/facility malfunction negatively affects the rest of the system.
Originally, cryptocurrency was developed as a decentralized network that has no single point of failure, which makes it democratic, more stable and efficient compared with regular money.
The technology behind decentralization in Bitcoin and most other cryptocurrencies is called blockchain, and it gives every user the ability to serve as a node that checks the validity of transactions.
