decentralized v centralized | Bitcointalksearch.org

edundayo

member

Activity: 91

Merit: 12

Quote from: jhopes67 on April 01, 2018, 02:42:46 PM

Why wouldn't every ICO want a decentralized platform since it seems to be the safest and automated?

You are correct decentralized platform seems to be the safest, but Like @jseverson commented, it's not a one size fit all situation, each project has a target and tries to do what they believe is best for success their project and their community.

Some project might consider having more control is beneficial to their target so they choose centralized, while others could prefer to let their community have the higher control so opt for decentralized.

Everything online seems very confusing indeed, LOL! But, usually it becomes clearer when read and understand the basics and background behind it all.

FullMooon

jr. member

Activity: 98

Merit: 2

To easily understand about centralized and decentralized, it is most likely on how to manage the money. In centralized, they should knows how to flow the money and the money will work if they centralized, while decentralized is no one knows how the money flow. And it will work without administration or cetralized bank like bitcoin.

3lyntio

newbie

Activity: 28

Merit: 0

Centralized cryptocurrency is controlled by a government or a company. It has value only in the specific area under company or government boundaries. For instance if you go any mart for shopping, the shopping mart could you reward points against your shopping, which can be redeemed for discounts or products. These points are technically centralized cryptocurriencies, but can be invalidated or increased in value by the controlling entity.

Decentralized cryptocurrency has no connection with any state, government or http://entity.It is registered on online exchanges and are usually only traded within the crypto community, except for the more mainstream ones like Bitcoin and Ether. Price fluctuations are controlled by free market forces.

In my understanding though, decentralized platforms, allow for far more privacy. Because anything which is controlled is likely to be driven towards a private agenda.

HSS00

newbie

Activity: 1

Merit: 0

Centralized - when you are a kid controlled by your parents
Decentralized - become adult live your own life fucking, smoking, etc...

ICO Enthusiast

newbie

Activity: 54

Merit: 0

In centralized platform all data are passing through one point so its easy to track and in decentralization platform, all data are pass through multiple points so it's not easy to track.

jseverson

hero member

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Merit: 759

Quote from: jhopes67 on April 01, 2018, 02:42:46 PM

Why wouldn't every ICO want a decentralized platform since it seems to be the safest and automated?

Well if you're starting an ICO and you want control over your platform, centralized would be the way to go. The farthest you could go with a decentralized platform is manipulation, and that gets harder as your project grows.

That being said, the reason above is also why customers usually prefer a decentralized platform; you don't have to fear censorship, etc.

mk4

legendary

Activity: 2870

Merit: 3873

Paldo.io 🤖

Here's an example. User 1 is going to send funds to user 2.

Centralized(PayPal, Visa, Banks, etc):
User 1 --> PayPal/Bank/Whatever mediator --> User 2

Funds need to be processed by a central authority. Also, they can pretty much make your transaction invalid if they wanted to.

Decentralized(Bitcoin, etc):
User 1 --> User 2

Funds get confirmed by the miners. Will always go through as long as you do have the funds you're planning on sending.

For more, in depth information:

MintDice

member

Activity: 238

Merit: 46

Essentially, if something is centralized, there’s a single point that does all of the work involved in any given action. On the flip side, if something is decentralized, there are multiple points that do the work.
A well-known example of a decentralized network would be BitTorrent if you've ever used it. The use of seeders and leechers is a good representation of that peer-to-peer network.
Many companies (like Google) like to use a centralized network because it allows for information to be easily traced and collected on its users.

Hope this helps!

jhopes67

newbie

Activity: 2

Merit: 0

I am very new to crypto still, can someone please explain simply the difference between a centralized and decentralized platform? Everything online seems very confusing. Why wouldn't every ICO want a decentralized platform since it seems to be the safest and automated?

Topic: decentralized v centralized (Read 162 times)