Steemit Crypto Academy Season 4 Beginners' course - Homework Task 4: Decentralized System by @daakye
Thank you very much Professor @yousafharoonkhan for the lectures on decentralization and block explorer, I am very grateful.
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(2) Define decentralization. Describe the advantages and disadvantages of a decentralized system. In what areas of life can a decentralized blockchain be helpful? (write-in own words)
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DEFINE DECENTRALIZATION
The word decentralization is obtained from the word centralization. Centralization, in general, refers to the process of rendering all the power and authority of an institution or organization solely to just one central authority. By extension, Decentralization comes in when the authority or power to make decisions is spread throughout the organization. All the people involved are given the mandate to make decisions.
Unlike a centralized system, a decentralized system allows what I call freedom of speech and expression on the internet. A typical example of a decentralized system is our very own steemit. On steemit, decision-making isn't solely in the hands of one central body. Every single user has the freedom to express themselves in their writing and in voting for others too.
A typical example of a decentralised operation system is how KFC works. Kentucky Fried Chicken (KFC) uses a decentralized system in its operations. The restaurant is an international one; It is found in over 140 countries with over 20,000 individual restaurants. Each branch in these individual countries has a manager who has been given the mandate to operate independently from the KFC in other countries. In Ghana, there are over 100 KFC restaurants that operate mutually exclusive from each other.
In the field of computing, internet and data usage, a decentralised system has many authority nodes. Each of these nodes is a subset of the total number of end users. The data of a user is accesed and manipulated only by the user.
Describe the advantages and disadvantages of a decentralized system
Decentralization generally is something good. But just as there is evil in this world, definately some one or two disadvantages may arise. The following are some advantgaes and disadvnatges of a decentralised system. I will begin with the advantages.
IT PROMOTES TOGETHERNESS
A decentralised system promotes in the sense that, all persons involved in the system have this conviction that in deed they have been recogniced and valued since power has been delagated to them.DECISION MAKNING & PLANNING IS VERY FAST
In a decentralised system, making decisions is very fast and planning is opened to a wide array of ideas since everyone is involved in making the decision. Everyone can share thier ideas and opinion with hope sthat, their ideas would be considered.THERE IS FREEDOM OF EXPRESSION & HIGH LEVEL TOLERANCE
No one is restricted to express themselves. Every single person has the mandate to express themselves. No one is left behind.EASY TRANSACTIONS
In a decentralised system like steemit blockchain, transactions are very easy and safe. You can easily make transactions with other users without third person involvement.REDUCE FRAUDULENCE AND CORRUPTION
In a decentralised system, information and data is secured and unaccessible to anyone who doesn't have legitimate right to it. As such, the fraudsters can't have access to your data.PROMOTE RELIEVE TO CENTRAL AUTHORITY
A typical example is steemit. Imagine the workload that would have been on the founding fathers of steemit if steemit was a centralised blockchain. The workload on Ned Scott and the other founders would have been very volumelous. Also imagine if only curator 1 and curator 2 were the othe ones allowed to vote; I am sure steemit woukdnt be very fruitful as it is now.
DISADVANTAGES
As I mentioned earlier, everything in this world irrespective of how good it is, has some amount of disadvantage. Decentralisation isnt spared. The following are some of the disadvantages of decentralisation.
- DIFFICULTY IN CORDINATING
Delegating power to every member is good but it becomes very difficult to cordinate affairs of the organization or system. Like steemit, though power and authority has been given to every user, not every user abide my steemit regulations and cordinating affairs on the blockchain becomes very difficult to come by.
- WASTAGE OF MONEY AND FUNDS
In decentralization, every one is their own boss and they would each require money or funds to develop themselves well. More money goes into that. Everyone requires more steem and SBD to build their individual steemit account.
- TRANSACTIONS ARE RISKY
Though in a decentralised system, transactions are fast and safe, it may be sometimes very risky. In the sense that, when you make a little mistake and you make transactions with a wrong address, all your money is lost and can't be replaced. So a lot of caution is expected of users in conducting a transaction.
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In what areas of life can a decentralized blockchain be helpful? (write-in own words)
The advantages of decentralisation is evident in several sectors of life. These include;
Political decentralisation where the power to control the affairs of a country or state is vested into the hands of the citizens. This encourages good governance and peaceful elections and decsion making since basically every single citizen is involved in the decision making of that country.
Fiscal or financial decentralisation where the big banks delegate power to individuals to represent them at the local or grass root level. This form of decentralisation even helps in the effective collection of taxes.
Health decentralisation where every nurse can do the same work or every doctor can do the work of another doctor. This means that, in a situation where one nurse who is taking care of a particular patient is absent, another nurse of the same rank as the initial nurse, can read the folder of the patient and continue with treatment.
Administrative decentralisation where the govenment delegate power to specific individuals as public workers to represent the governement at their local level. A typical example is the work of Mayors. They represent the president or government at their local areas.
In conclusion, decentralisatiion is very beneficial despite the littele cons you have seen. It is good to indulge yourself in a decentralise system or blockchain like steemit.
Thank you very much Professor @yousafharoonkhan for the education. I am grateful.
