Why Is the Word Decentralization  Commonly Used On The Blockchain?

Bitcoin was the first decentralized visual asset created in 2008 by Satoshi Nakamoto for actualization, knowing that the world needs a digital finance system, and gradually we are adapting to the new decentralized system.

We understand decentralization as we understand what freedom brings about and why we need freedom till we get the power to either make it more accessible or abuse it, above all facts, decentralized finance has come to stay, Realizing autonomous organization brings more standard and visibility to the blockchain while decentralized finance (DeFi) creates a better financial network.

The decentralized organization is more adopted on the blockchain, every new project aims to be autonomous and suit our preferences, DeFi plus DAO, DAO plus DeFi but not all offer the conditions that come with decentralization.

The decentralized aspect is the most difficult promise to fulfill by protocol, not every developer is willing to give up a project to the community.

the decentralized product should be open-source by which the software can be accessed by anyone, and some project ends their names with (DAO), while indirectly collecting users’ data, using the word decentralized as a sentiment for attractions, a fully decentralized protocol requires no user primary information.

The decisions are made by On-Chain voting to maintain resilience, trust, and transparency, If a project desires to be an investment vehicle, then it will be right to involve a legal entity, or a board, be open to regulatory scrutiny, and implement a Know your customer (KYC) requirements to protect centralized rights and lay down the ambitions of decentralization.

In regards to the DeFi, most protocols choose not to call it Defi but instead “Open Finance” because they can’t give up the project at the beginning when it’s colorful, Decentralization is just a spectrum at the wide end when there is money to be made.

We need to be aware of the Faust bargain at play, one in which resilience, decentralization, and censorship-free technology come at the risk of being compromised by the pursuit of profit, at this time with the recent worn-out of most projects, there will be an all hands on the desk for the regulator.