What exactly does blockchain decentralize mean?

The form of social relations and content generation formed in the development process of blockchain is a new type of network content production process relative to "centralization".

Decentralization is a phenomenon or structure, in layman's terms, that is, everyone is the center, everyone can connect and influence other nodes, this flattening, open source, equalization phenomenon or structure, called decentralization.

Decentralization is not about not having a center, but about allowing nodes to freely choose and decide on a center. To put it simply, centralization means that the center determines the node. Nodes must depend on the center, and nodes cannot survive without the center.

In a decentralized system, anyone is a node, and anyone can become a hub. No center is permanent, but phased, and no center is mandatory for nodes. Nowadays, there are many projects that are doing decentralization, and GSN social banking is also doing decentralization, but GSN reduces the cost of credit reporting, so that trust data can be used and shared unlimitedly.

GSN can greatly reduce the problem of false data in large quantities, so that data collection, processing and use can be more convenient. GSN expands the coverage of credit assessment, expands the size of the community, and uses distributed technology to collect data and information on user groups that cannot be taken into account through surveys and other methods in the traditional model. At the same time, GSN can be targeted at special groups, that is, those who do not have registered bank accounts, but can contact the Internet, to evaluate their credit, so that the scope of credit products and services can be well expanded.

GSN reduces the cost of credit product management, so that the evaluation, pricing, and contract of credit can be automatically executed and managed without additional manual participation, which greatly reduces the cost of credit product management and greatly improves the scale of credit business processing of banks. GSN improves the value creation ability of credit, and through the trust mechanism on the chain, the whole process of credit products can be dynamically programmed, which effectively expands the space for credit products to create value.

Efficient and quality completion of all activities.

The decentralization of blockchain refers to the form of social relations and content generation formed in the development process of blockchain, which is a new type of network content production process relative to "centralization".

Blockchain is an important concept of Bitcoin, it is essentially a decentralized database, and as the underlying technology of Bitcoin, it is a string of data blocks generated by the association of cryptographic methods, and each data block contains the information of a batch of Bitcoin network transactions, which is used to verify the validity of its information (anti-counterfeiting) and generate the next block.

Blockchain is unified across the network, so it is logically centralized. Architecturally, blockchains are based on a peer-to-peer network, so the architecture is decentralized. From the perspective of governance, blockchain makes it difficult for a few people to control the entire system through a consensus algorithm, so it is decentralized governance.

Centralization, as the name suggests, is to have a center with the highest authority, for example, the center of the RMB is the People's Bank of China, only this institution has the right to issue RMB, and how much to issue can only be said by this institution, and the transfer between bank centers must pass through the bank, and only the bank's confirmed transfer can take effect. Decentralization is similar to Bitcoin, its total number of issuances is only 19 million, there are only so many, it is impossible to change again, his ledger is also kept by everyone, and there is no central institution responsible for the issuance of Bitcoin.

The characteristics of decentralization in blockchain technology are decentralization, trustlessness, and collective maintenance.

1. Decentralization: There is no centralized hardware or management organization in the entire network, and the rights and obligations between any node are equal, and the damage or loss of any node will not affect the operation of the entire system. Therefore, it can also be considered that the blockchain system has excellent robustness.

2. Trustlessness: There is no need to trust each other to participate in the data exchange between each node in the whole system, the operation rules of the whole system are open and transparent, and all data content is also public, so within the scope and time range of the rules specified by the system, nodes cannot and cannot deceive other nodes.

3. Collective maintenance: The data blocks in the system are jointly maintained by all nodes with maintenance functions in the whole system, and these nodes with maintenance functions can be participated in by anyone.

The characteristics of decentralization mean that theoretically no one can control the entire chain, which means that everything depends on a centralized institution or someone to complete things, but the blockchain is not used, and everything on it is completed by miners and coin holders, according to the consensus mechanism.

Decentralization is a form of social relations and content generation formed in the development of the Internet, and it is a new type of online content production process relative to "centralization".

Compared with the early Internet (web era), web content is no longer produced by professionals or specific groups of people, but is the result of the joint participation and co-creation of all netizens with equal rights. Anyone can express their opinion on the web or create original content to co-produce information.

With the diversification of network service forms, the decentralized network model is becoming clearer and more possible. After the rise of the Web, the services provided by network service providers such as Wikipedia, Flickr, and Blogger are all decentralized, and any participant can submit content, and netizens can jointly create or contribute content.

Later, with the emergence of more simple and easy-to-use decentralized web services, the characteristics became more and more obvious. For example, the birth of services such as Twitter and Facebook, which are more suitable for ordinary netizens, has made it easier and more diversified to produce or contribute content to the Internet, thereby increasing the enthusiasm of netizens to participate in contributions and lowering the threshold for producing content. In the end, every netizen has become a small and independent information provider, making the Internet flatter and content production more diversified.

Decentralized computing

Decentralized computing is a computing model that allocates hardware and software resources to each workstation or office. In contrast, centralized computing is the centralized computing of most computing functions from local or remote computing. Decentralized computing is a modern computing model.

Centralized computing, on the other hand, was prevalent in early computing environments. A decentralized computer system has many advantages over traditional centralized networks. Desktop computers are growing rapidly, and their potential performance far exceeds the performance requirements of most business applications.

As a result, most desktop computers have a surplus of idle computing power. A decentralized computing system that can harness these potentials and maximize efficiency. However, whether it increases the effectiveness of the overall network is still debatable.

Decentralization is determined by the free choice of the center by the node, the center determines the node, the node must depend on the center, and the node cannot survive without the center. In a decentralized system, nodes can freely connect with each other to form a new connection unit, and any node may become a phased center, but it does not have a mandatory central control function.

Comparative analysis of centralized server finance and decentralized blockchain finance.

1. Login Interface:

Decentralization: serverless, no domain name and no app. The DApp browsers of third-party Ethereum (ETH) wallets are all entrances, such as: Binance Wallet, AM Wallet, Maizi Wallet, etc. DApps can only be read on block explorers.

2. Essential differences:

Centralization: 1. The mode and data are stored in the server, which can be modified arbitrarily and can control the outflow of funds.

2. Financial data cannot be disclosed to investors. The bonus is settled by the financial staff.

3. There is the possibility and feasibility of running away with money.

Decentralization: 1. The entire business model relies on the automatic execution of Ethereum (ETH) smart contracts, which is free from human management.

2. The financial situation is open and transparent, and the bonus block is settled.

3. Eliminate the possibility of running away with money.

3. Security of personal information and funds:

Centralization: 1. The report and preparation stool are required: name, **, ID card, bank card and other information, and there is a risk of leaking personal information.

2. The fund storage hall quarrels with the bank card or centralized wallet of the project party, and continues to run when the funds are out of the market, and when the funds are entered.

2. The funds are stored in the Ethereum (ETH) contract wallet address, and no individual or organization can transfer Ethereum.

Fourth, bubbles and risk analysis.

Centralization: 1. Development and operating costs 10%-20%.

2. The company's profit is 30%-80%.

3. The market allocation ratio is 10%-50% as a static and dynamic bonus.

Decentralization: 1. No development and operating costs.

2. 3% profit of the technical side

3. 97% of the market is used as a static and dynamic bonus.

To sum up: centralized projects will inevitably perish, and decentralized projects will win the hearts of the people!