Why Decentralized Infrastructure is Important in the Development of Public Blockchains?
It is obvious that one of the corners of the impossible triangle in public blockchain is decentralization, which we will be looking into here, especially regarding UENC. We believe you will gain a solid understanding of the priceless value of this infrastructure when you are done reading.
When considering how public blockchains have developed, one would think there to be an evident reason why Bitcoin (BTC) and Ether (ETH) sit firmly at the pinnacle of market capitalization. Proof of Work (PoW) represents a sufficiently decentralized algorithm; that could be partially the reason, but that likely can’t be all of it. The rising star Solana (SOL)‘s building momentum has squeezed it into the top three, also using the BTC-based PoW consensus mechanism.
In comparison, the Proof of Honesty (PoH) consensus mechanism has proven to be as relatively decentralized as PoW but adds efficiency. At the forefront of each of these popular algorithms is decentralization. Without sufficient decentralization, we cannot expect future stimulation of the ecosystem.
On the flip side, this stimulation brings increased market value and demand, which naturally causes one of the more glaring disadvantages of public chains such as BTC and ETH; high energy consumption. Consider the volume of nodes at play, each competing with each other, outputting copious amounts of computing power, and causing a monopoly effect. The problems are worsening; we think the bottleneck of the first decentralized revolution is among us. SOL is very clever in this regard. There are a limited number of nodes, each optimally performing and utilizing historical proofs. The improvement comes in the balance of decentralization, energy consumption, and efficiency. However, based on the limited node volume, we think the monopoly formed in its early stages of development. Let that not deter us from calling this a commendable stride towards efficiency.
The UENC Second Decentralized Revolution
Some believe that public chains sans tokens are hooligans. The primary goal of all decentralized architectures is safety and fairness, which in turn stimulate the ecosystem. The token’s market value is the core driver of the ecosystem. As we previously determined, BTC and ETH are relatively decentralized, certainly one of their strong suits. However, the high threshold to entry for miners and monopoly effect close the doors to most people. Additionally, SOL creates a liquidity battlefield in the ecosystem. Let’s begin talking UENC, gathering all experts to embark on the second decentralized revolution.
Almost all of the current problems in the infrastructure sector of such public chains lie in their high energy consumption, computing power requirements, and high entry cost. UENC has done a lot of thinking, exploration, and resolution surrounding the achievement of equal decentralization. To make technical achievements that solve energy consumption and hardware thresholds, we must introduce the Delegated Proof of Work (DPoW) consensus algorithm and the hybrid network structure independently developed by UENC.
Through its literal meaning, one can contrive the primary difference between PoW and DPoW is surrounding designated and fixed workload. In the UENC model, the high threshold to entry is wiped out; almost all available computer equipment can qualify to participate in infrastructure construction, which naturally improves decentralization. Additionally, the lack of competition for computing power also reduces the monopoly effect.
The direct manifestation of the hybrid network structure lies in two distinct roles on the ecosystem; public network nodes and sub-network nodes. The complete public network and sub-network nodes have the qualifications to participate in the verification. Public nodes require a slightly higher configuration level, and they initiate transactions, which increases their workload. The equal qualifications dictate cooperation, again pushing the boundaries of decentralization.
To again compare the big public blockchains such as BTC, ETH, and SOL, UENC combines the positive essence and excellent features while removing the dross. UENC improves optimization, promotes technological innovation, increases accessibility, eliminates the monopoly effect, and is environmentally friendly. Can we call this the second decentralized revolution? The revolution is led by UENC, with added value self-evident, cementing a place in the advancement of public blockchains.