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Beinsure — Insurance, InsurTech & Crypto Insights
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Blockchain Decentralization

1 post

In blockchain, decentralization refers to the transfer of control and decision-making from a centralized entity to a distributed network. Decentralized networks strive to reduce the level of trust that participants must place in one another, and deter their ability to exert authority or control over one another in ways that degrade the functionality of the network.

Decentralization is not a new concept. When building a technology solution, three primary network architectures are typically considered: centralized, distributed, and decentralized. While blockchain technologies often make use of decentralized networks, a blockchain application itself cannot be categorized simply as being decentralized or not. Rather, decentralization is a sliding scale and should be applied to all aspects of a blockchain application. By decentralizing the management of and access to resources in an application, greater and fairer service can be achieved. Decentralization typically has some tradeoffs such as lower transaction throughput, but ideally, the tradeoffs are worth the improved stability and service levels they produce.

How Does Blockchain Work? Blocks, Miners, Nodes – Decentralization

Blockchain consists of three important concepts: blocks, nodes and miners. The goal of blockchain is to allow digital information to be recorded and distributed, but not edited
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2022 Was Rough for Many US Auto, Property and Casualty Insurers

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The US P&C industry recorded a net underwriting loss of $26.5 billion in 2022, worsening by $21.5 billion from the previous year
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Natural disasters resulted in global economic losses of USD 275 billion, of which USD 125 billion were covered by insurance
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Belgian and Dutch insurers’ conservative investment portfolios should be resilient to rising credit risks amid weakening economic conditions and tightening monetary policy

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