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DECENTRALIZATION

Decentralization is the process of delegating authority of a central body to smaller organisations, groups or individuals to carry out duties they wish to do or have been authorised to do. In decentralization, the decision making is not only left to the higher authorities but everyone have a say in what ever happens.
Connected to Cryptocurrency, decentralization is one where investors and traders can carry out their transactions without a middleman or an intermediary. Their transactions are transparent and easy to do.

CENTRALIZATION

Centralization is the act where the authority of an organisation lies in the central body, the decision making process is performed by the heads. They give little or no chance to other persons to make decisions about what to do. In centralization, they are the ones that handle everything.

Differences between Decentralization and Centralization

Decentralization	Centralization
Long chain of command: There are different people that you could go to incase of any problem	Short chain of command: There are few authorities that you have to meet before you do any task.
Informal organisation: It places more value in the employee, there is a jovial environment which gives the employee the freedom to speak their minds	Formal organisation: There is usually a set of rules and regulations that each employee must adhere to. Respect is placed more on the position of the authority and workers are not usually given the freedom to express their creativity
Loose department: There is freedom of speech amongst their workers	Rigid department: There is little or no interaction between the employer and the employee.
Wide span of control: There is different authority which employees could report to within the organisation, In crypto world, the users can do their transactions without have to meet different people before it could go through because they have the authority	Narrow span of control: Here different procedures must be taken before a decision or transaction is made

Decentralization: Pros

• It is the perfect structure for cryptocurrencies.
• Investors have trust in the process.
• In crypto world, it's investors or users are free to do their wish without the need of a middleman.
• It is an easy and faster method for financial matters as you are in control of what happens to your finances.
• It can be operated by anyone and anywhere in the world

Cons

• One could make a huge mistake if not careful and observant of their wallet.
• For most wallets, if you did not save your keys somewhere safe, there is a high probability that your investment will be lost because their is no chance of getting a new password without your master keys
• It could be complicated especially if you do not understand crypto languages
• It does not have a defined authority head.
• It is for one that has knowledge of technology

Centralization: Pros

• There is an authority who advised incase you are about to make a mistake.
• You could easily get another password or key if problem arises.
• There are sets of rules and regulations that an individual needs to do follow , by so doing you would be more careful before you do anything.
• It is easy to understand, just follow the guidelines
• You can meet with the authority in case of problems

Cons

• There is a heirachical system.
• It's beauraucracy is sometimes annoying.
• You cannot do an emergency business transactions with this method
• It does not support cryptocurrency Blockchain
• Networking is sometimes hard and sometimes results to works not being done.

Which would I prefer for business

Personally, I would prefer a Decentralized structure because it gives more freedom to the employees and investors. I trust the process. It is very easy and stress-free. Using an example, In my country Nigeria, you could spend your whole saying a bank and the annoying thing is that you might not even be able to achieve what you went there to do. Mr Peter have sketched out plans of what he wants to achieve in a day but first of all he has to go to the bank to do a transfer to another bank. He enters the bank around 8am and is informed by the counter attendant informs him to that to transfer that amount,he has to fill some forms then meet the bank manager. Mr Peter fills the form but to meet the Manager he has to wait because there are other persons waiting to meet with the manager. He waits for 1 hour before he was able to meet up, after the necessary procedures, documents and forms that was filled, the time was 10pm. If it were to be a Decentralized, it would have been done within minutes.

How to figure if a blockchain is decentralized or not.

I will be using the chrome browser to do this exercise.

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• First click on this site Etherscan

• You would see a search box provided for your inquiry. I will be using the HuobiToken for the work.

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• Copy and paste the company token contract address.

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• After that click on contract. The details provided proves that it is a Decentralized Blockchain.

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NB: A contract Source code(Solidity) is one that presents everything about the the blockchain.

I want to thank Steemit crypto academy for the second season of our lectures and the able @yousafharoonkhan for the lectures.

#yousafharoonkhan-s2week1 #Cryptoacademy #Blockchain #Nigeria