Decentralization

Market Layer

 

Decentralization is the set of technologies, design patterns and practices that shift power and control away from centralized authorities (such as walled gardens and financial institutions).

The internet was originally designed as a highly decentralized network. For some technologies, such as the domain name system (DNS) or the World Wide Web—it still is. But over time, the need for simplicity and access to audiences eventually favored a number of powerful, centralized platforms. However, as new technologies built on open source, open standards and blockchain emerge, this power dynamic may shift back towards individual creators and projects, potentially increasing disruptive innovation.

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