Exploring the Impossibility of Decentralization

Exploring the Impossibility of Decentralization This article is initially published in Albaron Ventures. Grade school might tell you anything is possible. Complete and total decentralization, however, is not– at least sustainably.  The premise that decentralization is impossible hinges on the fact that decentralization “experiments” such as Bitcoin have approached degrees of centralization. Exploring the Impossibility of Decentralization For example, Bitcoin’s Proof-of-Work (PoW) mechanism relies on many nodes to “mine” or verify and facilitate transactions. These miners have rewarded a portion of transaction fees and a shot at winning the Bitcoin block reward, currently 12.5 bitcoins or about $115,000– a not insignificant prize dished out about 144 times daily.  This has incentivized the creation of “mining pools,” or a collection of nodes that…