In General: Decentralization is the process of transferring power, decision-making authority, and control from a central authority or group to a distributed network of individuals or entities. In a decentralized system, no single entity has complete control or authority over the network, but rather the power is distributed among many participants.
In the context of technology, decentralization usually refers to systems that operate on a peer-to-peer basis, where participants interact with each other directly without the need for intermediaries such as a central server or authority. This often results in increased transparency, security, and resiliency of the system, as there is no single point of failure or vulnerability.
In the context of cryptocurrencies, decentralization is a key characteristic, as transactions and the verification process are performed by a distributed network of nodes rather than a central authority like a bank or government.
Decentralization in crypto refers to the distribution of power and decision-making across a network of computers or nodes, rather than being controlled by a single entity, such as a central authority or a company. In the context of cryptocurrencies like Bitcoin, decentralization means that the network is operated by a community of users who collectively validate transactions and maintain the blockchain ledger, instead of a central authority like a bank or government. This decentralization makes the network more secure and resistant to censorship or manipulation, as there is no single point of failure or control.