The recent bitcoin hash wars brought into question the decentralization of bitcoin (DGB). That’s because an ego contest by three individuals led to a massive dip, and caused a scare in the entire community. But it didn’t just bring to question the decentralization of bitcoin, it actually leads an even bigger question, can decentralization in its truest sense even work?
Blockchain at its core is about decentralization. However, the reality is that the majority of projects, especially the most successful ones are centralized in one or the other. The only crypto that comes close to complete to complete decentralization is Digibyte (DGB). It is a community, and there is no central figure or entity steering the ship. But after the recent slide in market cap rankings to the lower 30s, questions abound even within the community as to whether this laissez-faire approach to things is working. Voices calling for a more centralized approach to marketing are growing.
These concerns are not unfounded, for two reasons. The first one is that, while blockchain is about decentralization, it is banking on a centralized world for it to succeed. For instance, if a blockchain project pitches to a top corporation, their chances of success would be higher if there is a central person, or group of persons, coordinating such moves. It would be difficult for a company to work with a project if there is no one they can hold accountable for it.
This explains why projects that have some semblance of centralized governance are making major headway in terms of adoption. For a decentralized project like Digibyte (DGB) to even get close to pitching at top corporate circles, there would have to be aggressive marketing. Unfortunately, this is hard to achieve when there are no centralized and well-coordinated marketing moves.
This weakness in marketing leads to the second challenge, and that’s having the tech copied by the more centralized projects. For instance, Digibyte’s Digi-ID has been copied by other projects already. If most these copying projects, which mostly have some element of centralized marketing aggressively push this, then ultimately Digibyte could be left as a shell, while all its tech is stripped away.
That’s why Digibyte (DGB) is the ultimate barometer on decentralization. If it continues working as a fully decentralized community where issues like marketing are left to all, and it succeeds, then it will be a mark that decentralization has won. It will prove that decentralization will play a major role in 21st-century economics, where centralized systems are already showing cracks. However, if it fails and projects that have “teams” and “leaders” pushing them to succeed, then the world could be headed for a semi-decentralized world, where there will be a mix of centralization and decentralization.
This could be a test for capitalism itself, where the status quo that is driven by monetary gains is pitted against a completely decentralized system, where everyone has a stake in how the world economy works, with no centralized points of control. Interesting future ahead for the crypto market.