Decentralization & Blockchain

A Distributed Ledger Technology (DLT) also known as Blockchain is a technology destinated to store an infinite number of transactions or code like a big ledger of data batched into blocks of data residing on specific chains known as networks, each block of data needs to be verified by his own signature and from the previous block linked together into a "block-chain" making a highly secure mechanism of data storage.

This technology allows people to build applications without the need for a central authority (a bank, company, government) or server, making them decentralized applications. The decentralized nature of blockchain networks opens the door to a ton of communities and projects, working by systems of aligned incentives, a well-functioning public blockchain requires a community of users, node operators, developers, miners, and in other cases stakings, who all play roles in a mutually beneficial network ecosystem.

Key Features of Blockchain Technology

• Constant: Blockchain networks operate globally, 24/7.

• Fast: Transactions are sent peer-to-peer directly from the sender to the receiver without needing to go through one or more intermediaries.

• Secure: The distributed network of nodes that underpins a blockchain offers collectivized security against hacks and outages, the system of signature validation makes it impossible to change the content of each block.

• Inexpensive: Without centralized, rent-seeking intermediaries, blockchain platforms operate at lower costs.

• Tamper-proof: Data is transparent and cannot be modified once it is timestamped to the ledger, thus securing the blockchain from fraud and other malicious activity. Likewise, anyone can view the transactions present on public blockchain networks.

This technology grants a more transparent, accountable, efficient, and secure way of exchanging decentralized stores of information independently updated, automatically replicated, and all validated transactions are immutable because they are recorded permanently. No one, not even a system administrator, can delete a transaction. Building on these claims, proponents suggest DLTs can address common problems of non-profit organizations, such as transparency, efficiency, scale, and sustainability.