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5 Things You Might Have Overlooked About The Centralization

The future of the crypto world heavily depends on the question about the decentralization role in blockchain-based networks. The answer has a great influence on the whole industry.

Why decentralization is such important? Should we prefer in over centralization? Let’s dive into details.

Decentralization is gaining popularity.

Decentralization is a blockchain feature that offers great functionality to the user. Without it, crypto networks lose the important quality of being “censorship-resistant” — the network can be used by anyone. Another strong point — the decision is often made quicker than in centralized systems.

Decentralization is actually one of the most important benefits of using a blockchain protocol. Let’s compare it with centralization.

1. Payment

https://2bitcoins.ru/detsentralizatsiya-stala-sinonimom-blokchejna-tak-li-eto/

And here Bitcoin — the first decentralized crypto — comes to our minds. Previously we had banks operating on centralized servers. The banking system had direct access to the client’s financial activities.

The downside of the centralized banking system is weak security. If the client’s password is lost — bad things will happen.

A decentralized payments system solves that security issue — you don’t need to rely on a third party to confirm the transaction. And you might have already jumped to the following conclusion: no third parties — fewer fees.

Decentralized systems are borderless — the client’s location doesn’t matter, and the experience is always smooth.

The only person that has access to your money is the user — only he or she has the private keys.

2. Crowdfunding

Crowdfunding projects is a recent trend that will bring significant societal benefits, including increasing the number of entrepreneurs around the world.

The blockchain structure allows us to add features and create a great experience. A healthy crowdfunding ecosystem has three constituents: the creators, the backers, and the community. Currently, there is a single exchange: a backer pledges funds to a campaign. All other interactions are low engagement, like email updates.

The crowdfunding is transparent. Imagine you want to help homeless dogs but can’t be sure that your money will really help those poor animals and will never go to somebody’s pocket. Well, crowdfunding is a way out.

3. Voting Process

https://www.johnpatrick.com/online-voting-trial-with-blockchain-academics-say-yes/

Let’s have a look at the system of government voting. Usually, governments are elected by means of regular elections. The process should be simple, and everyone should be allowed one equal vote. The process must be transparent. However, this isn’t always the case.

We all know how it works: the voting is over and… there are lots of media reports about manipulations.

One such solution to the manipulation threats is using a transparent decentralized system. The system will guarantee that people only vote once.

There is one crypto called VoteCoin. It allows to vote on a safe, and anonymous platform. We hope that soon some countries will start benefiting from it.

The decentralized voting means no manipulations and absence of government threats due to the anonymity system.

4. Justice Systems

Yes, you are not mistaken. The decentralization can be applied to the system of justice and police.

Policing includes a wide range of services, which can be assigned to different levels of governments. The decision to adopt a decentralized system would be an important step ahead in the development of global justice.

The decentralization can be applied to insurance payouts and inheritance issues.

The advantages of decentralization in the listed fields is the same — it is possible to make quick decisions on the spot.

5. Ready for development platforms.

https://www.pcmag.com/roundup/353252/the-best-low-code-development-platforms

Anyone can build amazing services using open and decentralized networks. The centralized technology often limits development opportunities. The World-Wide-Web itself is a great example of an open network, in which many great businesses such as Amazon, found tremendous opportunities.

Centralized vs Decentralized

https://pmessentials.us/considerations-when-centralizing-or-decentralizing-the-project-management-function/

The decentralization will remove control from corporations and give it to the people. It will make our life a safe, fairer, and faster world. In the nearest future, we will see more decentralized organizations.

Decentralization solves a lot of global issues. The decentralized technology is still quite new but the benefits we have received from it are huge.

Can you name the industry that should start using the decentralized system right now? Do you agree that it is our future? What other benefits can the community have from decentralization? Please, share in the comments.

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