NFT Steez chats with Celo’s NFT lead Mashiat Mutmainnah about the promise of ReFi and its capacity to promote environmental and social good.
What is decentralization? A decentralization definition is that it is the process of distributing and dispersing power away from a central point. Most financial and governmental systems in the traditional mainstream world are centralized, meaning they are controlled and managed by a single authority.
There are several crucial disadvantages to this approach, stemming from the fact that any central authority also plays the role of a single point of failure in the system: Any malfunction at the top of the hierarchy, whether unintentional or deliberate, inevitably has a negative effect on the entire system.
Centralization can also be present on a technical level. Hacking one of a centralized entity’s main points of failure, such as a database, could affect the entire entity and its network.
Decentralization spreads power and information across multiple points. Decentralization advantages can include greater security and diversified control.
Bitcoin was designed as a decentralized alternative to government money and, therefore, doesn't have any single point of failure, making it more resilient, efficient and democratic. Its underlying blockchain technology allows for this decentralization, offering every user an opportunity to become one of the network's many payment processors. As a whole, the crypto industry values decentralization, with projects building on various blockchains and distributed ledger technologies, or DLT
Blockchain combined with decentralized storage could ensure data preservation and anonymity when reporting war crimes.1255
Uniswap had been previously in talks with NFT lending protocols, planning to tackle liquidity issues and the “information asymmetry” around NFTs.1462
A combination of centralization and decentralization is a perfect mix for the development of crypto and DeFi, according to a Swiss National Bank official.3521
Blockchain Academy International’s Huxley Peckham says there are already 60 different industries using blockchain tech today.3280
DeFi crypto lending has operated as intended through the crypto winter because transparency kept it in line and business activities were siloed, according to Maple Finance’s Sid Powell.1240
Are decentralized digital identities the future, or are they a niche use case for blockchain technology doomed to solely be used by crypto natives?2544
Can Web3 replace Web2… and what stands in the way of this happening? We look at some of the biggest challenges facing this burgeoning sector right now.1804
The news comes a couple of weeks after research firm Delphi Labs announced it would shift the focus of its research and development efforts toward the Cosmos ecosystem.4945
From carrying medical data to streamlining royalty payments, NFTs serve a variety of important technological purposes. Bored Apes are a demeaning distraction.27203
JPMorgan CEO Jamie Dimon regards crypto as a tale of two cities, with “crypto tokens, which you call currencies” on one side and “real” innovations on the other.6951
The merging of crypto and TradFi is inevitable, with the latter potentially mitigating the volatility permeating the digital asset industry.1494
Buterin believes collusion and corruption can be minimized when deciding power is in the hands of the entire group rather than an individual or small minority.3837
Crypto insurance is becoming more important as investors and crypto companies look to secure their digital assets.2668
Decentralized autonomous organizations have too many attack vectors that affect important projects. That needs to change for them to become practical governance models.4065