Why Decentralization is Beneficial

by Marvin Dumont

Decentralization delegates work to capable participants. Kyle Samani of Multicoin Capital writes:

In 2009 Satoshi Nakamoto invented a new way to organize large scale economic activity — without the need for a centralized corporation. In time, historians will look back on the invention of Bitcoin as one of the most important breakthroughs coordinating human behavior at scale.

Part of the work is entrusted to others, and everyone confirms everyone else’s work. This protocol secures the entire system without needing a trusted third party. Decentralization’s advantages include better security, faster decision making, diversification of risk and capable actors participating in an ecosystem.

There isn’t a single point of failure, which greatly reduces systemic risk. Moreover, a system can quickly expand by welcoming more individual nodes who embrace a meritocratic system. In centralized entities, there’s room for politics.

According to Samani,

Today, the scale of the POW mining industry — which includes several multi billion dollar companies — is testament to the success and scale of this new model for coordinating economic activity. There is no reason to believe that we’re close to the limits of this model either.

Apollo (APL) all-in-one currency combines nearly all features of mainstream cryptocurrencies into the fastest blockchain in the world. Boasting features and advancements such as the first implementation of database sharding, as well as adaptive forging, atomic swaps, two-second blocks, encrypted messaging, decentralized marketplace, decentralized exchange, decentralized applications, and decentralized file storage, Apollo stands as the most feature-rich cryptocurrency on the market. And one of the most advanced.