On Friday, the 23rd of March, the co-founder of Ripple (XRP), Stellar (XLM) and also the ill-famed Mt. Gox cryptocurrency exchange, Jed McCaleb has stated that for future success to be guaranteed, cryptocurrency and its underlying Blockchain technology should be a decentralized network. According to McCaleb, with a centralized financial payment network in use, then the system will be no better than PayPal or SWIFT.
With the crypto-craze still ongoing, it will only be fair for the top players in the game to voice their opinions and what they think is necessary in helping the crypto-world to withstand any kind of storm. Different opinions from different people are inevitable but at the long run, those are the much needed tools to take the crypto-game to another level.
One topic which can’t stop buzzing off late happens to be the cryptocurrency Blockchain technology. Many notable figures have expressed concerns about it, some being Edward Snowden, who stated during an interview that the Bitcoin Blockchain is “devastatingly public”, and added that the stand out cryptocurrency’s public ledger is its “long-lasting flaw”.
“The real vision is that you have a network, much like the internet, that anyone can participate in,” stated McCaleb. “There’s not one central entity that can decide that it’s going to start charging. This is the way this thing can actually grow and reach ubiquity.”
“That’s the key thing to make these things successful,” he added.
McCaleb before making the comment on why the Blockchain should be decentralized earlier that week detailed his vision for a Blockchain-powered “universal payments network”, adding that he believes by the year 2028, all equity will be tokenized.
McCaleb who ditched Ripple because on divided opinions on how the company should be run also stated that, the internet was the only decentralized network he has ever seen and for that matter his chief technology officer said that is the reason Stellar has made it their primary agenda to create a network similar to that of the internet protocol.
“What we’re trying to build at Stellar is an internet-level protocol,” said Stellar’s chief technology officer. “That’s important that that be done by a nonprofit entity. If you imagine an internet created by a for-profit company, it would just be a very different world.”
Cryptocurrency Blockchain and what it is about
The Blockchain is somewhat an open distributed ledger which is capable of recording not only financial transactions but anything of value between two entities in a verifiable and permanent way. The technology was originally made for digital currencies but has now outgrown its original purposes, with the ever-expanding tech world finding other potential uses for this technology. The technology makes it possible for digital information to be distributed but not copied, thus by design, a blockchain is in a permanent manner, made to resist modification of the data. Its database and records are truly public making it easily verifiable and also accessible to literally anyone on the internet because it is hosted simultaneously by millions of computers.
Is decentralization really the way forward?
Decentralization of the Blockchain network will basically mean, making the technology a system, similar to that of the internet so that anyone at all can access it without any form of restrictions and any sort of charges. This concept in the crypto-world comes with a lot of divided opinions.
This decentralize idea or issue has been around for quite some time now with the crypto-elite viewing it as some sort of sacred thing. The idea of decentralization has brought about the assumption that, the trend will come with fundamental advantages. However, some are very much concerned the critical analyzation of the hype whiles others too are not really concerned with the consequences or the outcome. Some people think decentralization is not a useful feature of blockchains, deeming it a limitation to enable the real one.
However, for cryptocurrency and the blockchain technology to be free and independent from the manipulation and control of people, government and other entities, there is a need to consider decentralization as the framework of the digital assets. McCaleb’s comment might not go down well with everyone in the crypto-world. This doesn’t also mean that his suggestions do not carry weight and shouldn’t be considered. To make cryptocurrency and the blockchain network free from restrictions isn’t such a bad idea.
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