- Decentralization is a revolution over traditional ways of finance and many other technologies.
- Many other technologies support blockchain platforms.
- Finance and communication are the top applications of Decentralization.
Segregation of power is the need of the hour, not just in finance but also everyday life. This has been long due that the position of power is left unchecked. Not only that, but they also have the power to make decisions, amend regulations, and make regulations. Very few people hold all of this.
Now it’s high time all of this changed. This is where Decentralization comes in gun blazing. Technologies like blockchain and cryptocurrencies can be considered enemies of many countries, as they will not let a single organization or a man hold power.
Beginning of Decentralization
In 2008, the first ever cryptocurrency, bitcoin was introduced by Satoshi Nakamoto, and he vanished after that. Bitcoin’s functioning was designed such that there is no involvement of a third party or a middleman in financial transactions. It is known as a Peer-to-Peer transaction.
Cryptocurrencies were the first functional roots of blockchain technology, which gave birth to many other cryptocurrencies and a full house of different ecosystems. They are rolling in the mainstream; a full market is dedicated to Decentralization.
At its peak, this market was valued at almost $3 trillion, a feat in itself. Currently, the market is still at $1.4 trillion. Though there was a fall in this market in 2022, coined “The Crypto Winter,” and you guessed it right, it is after the famous series “Game of Thrones.” Though the Winter came in 2022, it still saw growth in cryptocurrencies in 2023.
One of the main reasons why decentralization would trend or blow up is very simple. It gives people back the power, it removes the middleman, and one of the most important factors or points is that it’s a new technology and works; not only that, it has shown innovation in finance.
After a long time, there has been a system where people are liable and answerable to their own data, and there is no involvement for a third party. Many tech giants are directly involved in these technologies, for example, IBM, Shell, Microsoft, and many more.
Decentralization and Blockchain: Their positive values
Decentralization is not only promoting new technologies but also can be inculcated with current ones as well. Cloud computing is one of the main technologies supporting blockchain functioning. There are different sectors in which these technologies are working together for the better. Some of the sectors are:-
- Finance and Banking
- Gaming Industry
- Cyber Security
- Supply chain management.
- Transportation and mobility.
- Entertainment.
- Information and communication technology
- Healthcare Technology
As one can easily see, there are a lot of applications in various industries. It is a very versatile technology and can be taught with other technologies. Decentralization also promotes transparency between different people and uplifts values of honesty in the community.
