Centralization and decentralization in blockchain Technology

1. Chongqing jinwowo: the decentralized trust mechanism means that first of all, blockchain projects need to complete the recognized accuracy of information records. In terms of pure digital business, the purpose and value of blockchain can be achieved by ensuring the recognized accuracy.

2. Centralized wallet, also known as off Chain Wallet, completely depends on the company and server running the wallet. bitcoin stored in the exchange is stored in the centralized wallet (off Chain Wallet). The private key is not owned by the user, but in the wallet project side of the centralized server hosting chain, the fund is usually entrusted to the server
private keys and assets are transferred to the wallet for centralized management. Users don't need to worry about the loss of the private key of this kind of wallet procts, resulting in the loss of funds; However, the capital risk will be more concentrated in the wallet project side and server side. When the centralized wallet is conquered by hackers, users will suffer unnecessary losses
decentralized wallets, commonly known as onchain wallets, have private keys maintained by users and assets stored in blockchains
decentralized wallets are often referred to as onchain wallets. The private key is handed over to the user. If the private key is lost, the wallet will not be able to help the user recover, and the funds will be lost forever. But the decentralized wallet is difficult to be attacked by hackers, and users don't have to worry about the self stealing of the wallet service provider
centralized wallets are where assets are stored, while decentralized wallets are where private keys are stored
except for the exchange, it is not recommended to use the centralized wallet, although losing the private key may help you find it. But there is always a risk that the company will run

a decentralized wallet is equivalent to a channel, a channel to control its own assets on the blockchain by mastering mnemonics. For a decentralized wallet, the most important thing is to protect the security of the [private key]

the application fields of blockchain include digital currency, token, finance, anti-counterfeiting traceability, privacy protection, supply chain, entertainment, etc. with the popularity of blockchain and bitcoin, many related top domain names have been registered, which has a great impact on the domain name instry.

3.

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

blockchain is an important concept of bitcoin, which is essentially a decentralized database. At the same time, as the underlying technology of bitcoin, it is a series of data blocks generated by using cryptographic methods. Each data block contains the information of a batch of bitcoin network transactions, which is used to verify the effectiveness of its information (anti-counterfeiting) and generate the next block

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

extended data:

characteristics of blockchain Decentralization:

decentralization, not without the center, but by the node to freely choose the center, freely determine the center. In short, centralization means that the center determines the node. The node must depend on the center, and the node cannot survive without the center

in a decentralized system, anyone is a node, and anyone can be a center. Any center is not permanent, but phased, and no center is mandatory for nodes

with the diversification of network service forms, the decentralized network model becomes more and more clear and possible. After the rise of Web2.0, the services provided by Wikipedia, Flickr, blogger and other network service providers are decentralized. Any participant can submit content, and Internet users can create or contribute content together

reference source: network blockchain

reference source: Network decentralization

4. Jinwowo analyzes the decentralized peer-to-peer network of blockchain. Blockchain system is a point-to-point network. All nodes in the network jointly own and maintain all data in the system, and the damage or offline of any node will not affect the operation of the whole system. Decentralization brings greater security and stability advantages to the whole network.

5. On the Internet, the most typical example of centralization is the portal website. By collecting all the information on the Internet on its own platform, the portal website forms a central node, and then extends many branches from this node. Generally speaking, only one node is making decisions. According to the analysis of jinwowo network technology, the characteristics leading to centralization are as follows:

1. The central node grasps the information of distributed nodes

2. The sub nodes do not master the information of other nodes (centralization, non-public transactions)

moreover, the pain point of centralization is that the security of the system depends on the security of the central node, and the distributed node has no control over it.

6. Chongqing jinwowo network: decentralization, which is different from the traditional way of centralization. There is no center, or everyone is the center; Distributed ledger database means that the recording method is not only to store the ledger data in each node, but also to share and the data of the whole ledger synchronously. At the same time, blockchain also has the characteristics of disintermediation and information transparency.

7.

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

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

2. Distrust: there is no need to trust each other when participating 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 contents are also open. Therefore, in the specified rule range and time range of the system, nodes cannot and cannot cheat other nodes

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

extended data

blockchain technology has never excluded supervision, and supervision nodes can easily access any blockchain network. Because of the openness and transparency of the blockchain, the regulatory authorities can monitor the transaction data of the whole system more conveniently, and because of the anti tampering property of the blockchain

once a transaction occurs, it can't be changed or deleted, so it's impossible for the data fraud to hoodwink the supervision, which is more concive to the supervision of the regulatory authorities on the market behavior. Thus, blockchain will become an important tool for regulatory Technology (regtech)

source: network blockchain