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Decentralization refers to the property of a system in which nodes or actors work in concert in a distributed fashion to achieve a common goal. Decentralized organizations are those that do not rely on a single center of authority to enforce the rules and maintain operation. Instead, they are composed of numerous decision-makers with the same or comparable degrees of authority over the rest of the system and rely on varied consensus mechanisms to reach a common plan of action. A prominent example of decentralized systems are cryptocurrencies like Bitcoin (BTC) and Ethereum (ETH), which are supported by networks of independent computer-nodes that achieve consensus via algorithms such as proof-of-work (PoW) to infallibly and uniformly process and record all transactions.

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