Exploring DeFi as We Enter 2022: Rise of DAOs

Debates over-centralization vs. decentralization have always been a touchy topic. Many argue decentralization should be a vital part of the cryptocurrency world as it ensures platforms are not controlled by overbearing authorities or outside third parties. Resistance to censorship and centralized authorities is important as it means blockchain-based platforms can reach markets and empower users in areas with unfriendly governments. In an increasingly hyper-connected world where commerce and the exchange of ideas flows beyond borders, decentralization becomes even more vital to promote innovation and efficiency, especially with an Internet described as the “biggest decentralized communication system humanity has ever seen.” Decentralization fosters transparency and security – elements that only become more important as the crypto market sees larger amounts of money moving around. Accusations of insider trading within the OpenSea NFT marketplace have led some to argue for greater decentralization within the NFT world. “Whether or not there is truth to the accusations of insider trading—OpenSea needs to use this as a catalyst to build a more decentralized platform,” Compound Finance co-founder Robert Leshner noted in September. DAOs Are Becoming An Integral Part Of Crypto Projects Interested In Democratic Governance Decentralization is of particular benefit to projects when it comes to community involvement and engagement. ...