Blockchain is one of the most important factors concerning the value propositions of decentralization and distribution inside the ecosystem where it exists.
TransferChain reinforces the privacy, confidentiality, and security of its products and services by utilizing the inherent value propositions of blockchain technology, such as transparency, prevention of data manipulation, and the potential for decentralization.
Blockchain is used to store summarized information regarding the process management of the stored and/or transferred data by the data owner. It manages processes such as data ownership and authorization of data access and enables decentralized decision-making flexibility beyond the capabilities of a centralized database.
The blockchain architecture in place has a unique structure that is not dependent on any other blockchain architecture and is tailor-made according to specific needs. This approach, which is permissioned but supports the participation of multiple actors in the network and allows organizations other than TransferChain to participate, is designed with a view to combining the distinctive benefits of centralization and decentralization into a single solution.
Decentralization & Distribution
Decentralization is the process of distributing decision-making power, and/or responsibility away from a central authority. It can be applied to organizations, governments, or even technology systems, like computer networks as in our case. At TransferChain, we have a robust decentralization plan that will happen in 5-7 years, TransferChain network will reach almost 100 nodes in order to achieve absolute decentralized decision-making.
All Nodes will be full nodes and only institutions can run nodes in this permissioned network. Our network design aims to improve the liveness, fairness, correctness, and safety of the network. In order to assess decentralization, we evaluate the subject through four separate layers:
Social decentralization represents the diversity of computers, individuals, organizations, etc. that join or are able to join the relevant blockchain network.
Monetary decentralization represents the balance of value distribution within blockchain networks in which there is a circulation of economic value, and this economic process bears significance for the functioning of the network.
Architectural Decentralization is Key
Architectural decentralization as the decision for centralization or decentralization should be (and often is) made in line with the objective of the design at the very beginning, it represents the perspective adopted by the blockchain network at a fundamental level on how this matter is handled.
Protocol-level decentralization represents the perspective adopted by the blockchain network on the decision-making layer with regard to the mechanism of decision-making, how the rules are determined, implemented, etc.
This multi-layered analysis indicates that a large body of evidence is required before we can declare a blockchain network as “decentralized.