“It is always wise to look ahead, but difficult to look further than you can see.“- Winston Churchill
A few weeks ago we talked a little bit specifically about blockchain and DeFi technology, mentioning the benefits, diversity and general overview of these up and coming protocols, as well as in other past pieces. But why do we need Decentralized Finance? Why is Blockchain necessary?
What Defi does is it takes the individual and puts them in control of their money, information and all their transactions. The internet we have now is not as adequate a platform for individual freedom or property rights as most would like. Although it is a solid foundation and has given us interconnectivity and data transfer beyond measure, there’s still a problem: all information goes through centralized stations. Imagine it like this: the internet is like transportation around a city, there’s planes, trains and automobiles. The platform we have today is like everyone’s data is only getting around town by the train routes, while decentralized blockchains would include the other two methods. One is centralized, the other is not. When our data passes through a centralized computer, that computer copies our information to itself in order to send it out to the receiving device, resulting in our loss of control over our data. One internet browser, Brave, is stepping in and compensating their users with a crypto token in exchange for viewing ads. taking steps in the right direction, rather than stealing our information. In a Decentralized environment, information can pass from one individual to the other, without the need for a middle man to pass it along, keeping info or funds safe between the two consenting parties.
The internet we have today is exploiting our data usage and transfer, and using it to their gain. When our data passes through another centralized computer, they now have access to that data and they sell it to a multitude of companies. Ever wonder why your ads are in tune with your taste in music, Tv or movies? Blockchain sets a standard to get the individual involved. Crypto currencies are built on peer to peer transactions and verifications and everyone’s money is safe. Blockchain principles can also be applied to information transfer apart from money: peer to peer and valued at whatever the parties deem reasonable.
Blockchain is the future; it’s safer, more secure and more reliable than the centralized internet we have now. Stay tuned for more on this subject and leave us some feedback!
