Questions tagged [decentralization]

systems, such as Bitcoin, that lack any single central authority to validate their operations and which have to use other means to determine the validity of operations.

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Is the Bitcoin Core software managed by a central authority?

Is the Bitcoin Core software managed by a central authority? It is in the context, that once a transaction is broadcast by a user, then is it centrally published at the application level (i.e Bitcoin ...
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Why do people expect Bitcoin Unlimited to cause miner centralization?

I've seen the argument that Bitcoin Unlimited will cause mining to centralize further. Can you please explain why people expect that to happen?
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Is Lightning Network a risk for Bitcoin security since it reduces miner fees?

does LN represent a risk for the Bitcoin ecosystem since it will reduce miner fees (the only income they'll have in a post-btc-minting world) and displace them into second layers? I couldn't find any ...
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How is Bitcoin truly decentralized?

Whenever Bitcoins are discussed, one generally reads how "Bitcoins are decentralized. No company nor state controls them". My question is, how is this statement true when you read about how Bitcoin ...
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How does bitsquare sell/buy fiat currencies when it is decentralized?

I noticed that on bitsquare you can sell your BTC for fiat such as usd or euro. But my question is how is that decentralized when you want to cash out with USD or EUR? Who is the middle man that ...
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Have there been a Bitcoin or Cryptocurrency related lottery app or website that was successful?

Doing some research on decentralized gambling and we all know about the dice sites, but has there been any lottery applications or websites that take in users funds and then redistribute them back out ...
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Can more transactions be processed within a centralized bitcoin exchanges than in the rest of the bitcoin network?

I've heard that centralized exchanges are more efficient, and that a centralized bitcoin system as a whole would allow for more transactions to be processed. Does that mean that within centralized ...
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Could cryptocurrency “insurance” slow Bitcoin adoption?

Does the concept of cryptocurrency "insurance" undermine the purpose of "being your own bank"? Recently I have seen more Bitcoin related companies offer some sort of insurance for Bitcoins stored in ...
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Bitcoin node Decentralization

Is the number of independently owned and operated full Bitcoin nodes more important than the total number of full Bitcoin nodes with regards to Decentralization? Assuming the answer to the above ...
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What can be done to slow/prevent mining centralization?

Assuming all buyers have access to the same ASICs (ignoring that ASICs developers and manufacturers will always have the latest first, even if only used for "testing" prior to sale) energy costs would ...
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How can a DAO seek enforcement of a contract?

If a DAO hires someone to perform a task that is not completed according to contract terms, what is the legal remedy of the DAO. Assuming the DAO is not incorporated in any jurisdiction, can DAO ...
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Why are banks and other centralized entities interested in block chains?

Apparently banks and other centrialized entities are interested in block chain technology. My question is, why? The whole point of block chains is for decentralized, trustless, consensus. Bitcoin, ...
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Is centralization in the Lightning network inevitable? Why (not)?

Especially keeping in mind the possibility of single-funded channels (see Tadge's Google Doc Slides), buying from an exchange and concurrently opening a payment channel on the Lightning network would ...
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Why would increasing the Bitcoin block size lead to a more centralised system?

Why does Bitcoin Core contributor Peter Todd think that increasing the Bitcoin block size would lead to a more centralised system? “The system doesn’t scale, and you just have to accept that and do ...
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Has the bitcoin network ever been “down”?

I'd be interested to know if the bitcoin network has ever been down. By "down" I mean that a client would not be able to synchronize with the network to obtain data like the txs in the mempool or ...
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How long do files stay on the Decentralized Data Storage blockchain when using NXT's Data Cloud Feature?

NXT 1.7.4 just released a new Data Cloud feature: How long do files last on the NXT blockchain?
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Is simplified payment validation (SPV) decentralized?

Is simplified payment validation (SPV) decentralized? Viz., when an SPV client wants to verify a payment, does it connect to a central server or to several random peers, checking that their Merkle ...
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Is Bitcoin a decentralized time-stamping authority?

Can Bitcoin/blockchain be thought of as a decentralized time-stamping authority (TSA)? Is there true consensus in the Bitcoin network on a mined block's time, or just that the block was mined?
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Are there any complete Bitcoin systems?

It seems to me that to keep Bitcoin both decentralized and secure, the whole of the Bitcoin process should ultimately depend on each user, or rather, that the involvement of each user should ...
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Is Ripple centralized or decentralized?

Are people still fighting about this or have they come to a consensus? Also, as of today (Sep 2015), what is the main advantage of Ripple over Bitcoin?
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Decentralized Data Storage System in NXT - How do you disable the 2 week data pruning?

Currently the NXT platform has the ability to store data in its blockchain, whereby making it a decentralized data storage system. But the thing is that the data is purged from a nodes blockchain ...
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Embedding P2Pool technology in Bitcoin Core

As far as I understand, P2Pool is a way to decentralize mining. I don't know all the details, but it allows to distribute the mining rewards by the parties involved, fairly and without a centralized ...
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What security threats does blockchain technology solve or present?

I am interested in security, identity and authenticity in electronic networks. What sort of security concerns could blockchain technology help with and what sort does it pose? Are there entry and ...
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Is There a Safe Way to Decentralize or Spread Ownership of a Company Using Bitcoin or Altcoins?

We are starting a social enterprise that is focusing on home oriented products and services - starting with real estate brokerage services. The profits from this organization will be used to battle ...
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Are transactions in a block decided by mining pool operator?

My assumptions: Most pools have an operator. All individual miners part of the pool work on block with address of the coinbase transaction owned by pool operator. pool operator gets all the bitcoins ...
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What is Multi-PPS (Pay Per Share)?

I know the original proposal on bitcointalk is here, but can someone explain it more succinctly? How does Multi-PPS work? Can it actually prevent mining centralization?
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How to store 30kb file using Decentralized Blockchain Data Storage on NXT (nxtcoin) by attach messages?

I'm curious to how would one store a 30kb file on the NXT blockchain since the NXT protocol can attach a 1000byte message. My test scenario is storing a 30kb midi file on the nxt blockchain and then ...
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How does Dash achieve anonymity without centralisation?

Dash is supposedly completely anonymous. How does this work without any centralisation? Is there one person with all the transactions and only they mine?
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Is multi-PPS the correct solution to the mining centralization problem?

See this post. Meni believes that this could be the correct solution to the mining pool centralization problem, and that are no known drawbacks. There is some work that needs to be done to write, test ...
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Decentralized product inventory (instead of simple orderbook)

I am thinking of creating a decentralized market place with public bidding. AS far as I have researched all cryptocurrencies and such only offer public ledgers with simple orderbooks. The only data ...
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What are the pros/cons of the Multigateway service on NXT?

I'm doing some research on the decentralized exchange multigateway on the NXT platform. I was wondering what are the pros/cons of this service compared to centralized exchanges like cryptsy?
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How will bitcoin stay decentralized when mining becomes extremely expensive?

My understanding of bitcoin is that the miners are the ones keeping bitcoin decentralized. What happens when only the richest of people can afford mining?
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What are some of the advantages & disadvantages of the following: Colored Coins and Counterparty

Seeing the release of coinprism wallet for colored coins and I'm also playing with counterparty.co What are the main differences among these two competing decentralized asset managers? I see that ...
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Decentralized democratic voting [duplicate]

Has the fundamental problem in cryptovoting, one person, one vote, in a completely decentralized or blockchain centric manner been solved? In other words, how can votes be allocated in a ...
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Incentive for mining by regular users

Most of the time that a regular user gets introduced to the concept of mining, they're immediately non-incentivized by the community and also by the high-cost of hardware compared to the actual reward....
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If the supply of Bitcoin is regulated, how could it be said to be decentralized?

The minting of new bitcoins is deterministic, and there will eventually be a cap to the production of new bitcoins. Why do we say that bitcoins are a decentralized currency if they are created in such ...
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Do we know who runs the big mining pools?

After looking at the hashrate repartition https://blockchain.info/fr/pools. It seems to me that bitcoin is quite centralized, and that two big actors (mining pools company who run the bitcoind server) ...
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Would a professional ASIC-machine holder eventually become a bank-like character?

As we know, one of the concepts of Bitcoin is to be "decentralized". When individual miners, even with ASIC miners, become unprofitable, will the system become more centralized to those several superb ...
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Is there any centralized cryptocurreny?

Is there any centralized cryptocurrency? Is cryptocurrency a Bitcoin oriented concept only? From what i read almost all of the cryptocurrencies are derivatives of Bitcoin.
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Is there a list of all cryptocoin currencies? [duplicate]

Apart from bitcoin, I know few other crypto currencies (by this I mean currency which works in a similar way to bitcon). They are: namecoin lightcoin ripple I also heard about SolidCoin, but as far ...
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Why is decentralized e-commerce good or better?

All of the promotional materials (videos, papers, articles, etc.) on Bitcoin bill it as a decentralized solution for e-commerce/online financial exchanges that bypasses traditional banks, federal ...
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What is the Ripple equivalent of the “51% attack?”

In Bitcoin, if a participant gains control of more than 50% of the hash power, they can execute a double-spending attack. The "attack" could come from within, say if the existing powerful miners ...
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How is a hard fork resolved?

In March 2013 there was a fork following the v0.8 release. The issue was resolved rather efficiently, as explained in the post-mortem report. However in this process there were winners and losers: the ...
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Where does bitcoin-qt try to connect to when running for the first time? [duplicate]

My question is, where does bitcoin-qt try to connect to when running for the first time? How does it know where to connect? Is blockchain.info some domain that has discovery services? If yes, then ...
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Is mining the unfair part of bitcoin in the same way banks (or rather, fractionary reserve systems) are to current monetary system?

I've been reading a lot about bitcoin lately and I'm very interested. Especially, when it comes to making a currency that is way more fair, because it avoids a centralized control of it. However, in ...
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What are some resources that analyze “how centralized Bitcoin really is”

Are there any blogs that track the centralization in Bitcoin? Is it growing, or is Bitcoin becoming less centralized over time? E.g. I believe mining pools have become somewhat less centralized in ...
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Is there a way to create decentralised rating system akin to #bitcoin-otc?

I'm wondering if there is a way to create a ranking system similar to #bitcoin-otc, but making it decentralised?
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What is the P2Pool?

As I was checking this SE, it doesn't appear this important question has been asked: What is the P2Pool? How does differ from the traditional approach and what does it offer its users?
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Decentralized escrow functionality built into Bitcoin?

AFAIK there are a few websites out there that offer escrow services for Bitcoin. Those however are central, i.e. I have to "trust" them. Is it being discussed, is it theoretically possible, or does ...
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Do mining pools centralize the Bitcoin network and make it less secure?

A mining pool with a significant percentage of the hash rate could allow double spend attacks by the pool manager. There are a number of pools that approach this level. However, most people say that a ...