The movement of control and decision-making from a centralized entity to a decentralized network is called decentralization in blockchain . In decentralized blockchains the transferred is irreversible .It enables the people involved to deal with each other face- to -face without any intermediary . Decentralization is the feature that makes crypto trustworthy. Decentralization and stability of currency go hand in hand . Decentralized Finance , also called DeFi is thus more trustworthy and stable .
The decentralization of cryptocurrencies is what makes it reliable . In general , more decentralized cryptocurrencies are more likely to be stable and live than centralized and less dispersed cryptocurrencies .It allows an open and non – discriminated environment for the transactions of crypto . Some of the many advantages of Decentralization include, security by thousands of computers which in turn results in a high availability , and diversification .
The whole point of a decentralized blockchain is to provide a hard promise : an immutable ledger with open , non -discriminatory participation . We tolerate the inefficiency of decentralization in some ways since it is the only method to enable a network with these characteristics .It also improves data reconciliation , eliminates all the challenges faced in centralized transactions and optimizes resource distribution . It also lowers the risk of systematic failure . It implies that nobody can control or monitor the purchases , sales or transactions you are making .
A decentralized exchange (DEX) is a cryptocurrency exchange market that works decentralized , allowing peer- to- peer trading without the use of a central authority . When a user requests a withdrawal , his funds are converted back into the cryptocurrency they represent and delivered to the user .They depend on smart contracts to allow transactions without the need of intermediaries . Some popular decentralized exchanges are Binance , Coinbase, Kraken, Bittrex .
Here is a list of top 10 most trending and trustworthy decentralized exchanges according to 2021 .