Blockchain Developer Certification Practice Exam 2025 – All-In-One Guide to Master Your Certification!

Decentralization in blockchain technology refers to the distribution of control and decision-making across a network rather than being concentrated in a central authority. This characteristic is fundamental to the operation of blockchain systems and underpins their trustless nature. In a decentralized network, multiple nodes (computers) participate in validating transactions, maintaining the blockchain, and enforcing rules, which reduces the risk of a single point of failure and increases the overall security and resilience of the system.

By decentralizing control, blockchain technology enables peer-to-peer interactions without reliance on intermediaries, thereby fostering transparency and mitigating the need for a central governing body. This empowers users and enhances trust, as the consensus is typically determined by the majority of the participants in the network rather than a single entity making decisions unilaterally. This concept is crucial for understanding how blockchain offers solutions to various problems in sectors such as finance, supply chain, and data management.