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 | 'Decentralization' will almost always come up when someone first looks into cryptocurrency. However, it may also be one of the poorest defined terms in the space. Millions of dollars have been spent on research and development with the sole purpose of achieving and improving decentralization. Despite this, it is still common to hear fans of one protocol claiming that another project or idea is 'centralized'. So I thought we should take it back to basics and look at what this really means. If we were to take this traditionally used (and not overly useful) diagram you may have seen many times: Baran (1962): from \"On Distributed Communication Networks\" Meanwhile, the top result on Ethereum stack exchange... an almost identical diagram but with the words decentralized and distributed swapped around! How confusing! This confusion often arises in conversation because people are talking about different aspects of software decentralization. 1. Architectural decentralization The number of physical computers in a system, how many of these can break down before it all goes to shit? 2. Political decentralization How many individuals or organizations have input towards controlling the computers that the system consists of? 3. Logical decentralization If the system was cut in half, in terms of providers and users, will both halves continue to operate as independent units? A starfish could be considered logically decentralized because it can regrow an entire body from a lost arm without outside intervention. Accounting for these 3, blockchains can be said to be politically decentralized (no one person controls them) architectural decentralized (no single central infrastructure point of failure) but are logically centralized (there is one commonly agreed state and the system behaves like a single computer). Hence, the logically centralized nature of blockchains is in many cases, a good thing. For example, logical decentralization would mean the system wouldn't survive network partitions easily and may struggle to work in regions with poor connectivity. I won't go too far down the rabbit hole, but just hope that highlighting these nuances of decentralization may help when communicating with people who prefer other projects to you! It is a term we sling around all the time but maybe without much thought so I figured it would be nice to chat about it. I'm keen to hear what you guys think! [link] [comments] |
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