Decentralization refers generally to the reduction of the weight of central authority to lower levels of decision-making.
This form of governance is increasingly taking over from the centralized approach for the benefit of the people.
Before showing you the innovation brought by the KALIZA ($AZA) project, allow me to explain in a few minutes, concretely, what the decentralized economy is and its advantages for you.
- WHAT IS THE DECENTRALIZED ECONOMY?
The decentralized economy (as opposed to the plan or centralized economy) is a type of economy in which no single decision-making center imposes its objectives on the agents of economic activity. In other words, the state, which is the central decision-making power, allows the role of the market (the meeting of supply and demand) in price formation to remain, and is content to influence economic evolution through its monetary, financial and social policies).
The decentralized economy is, moreover, one of the essential principles of the market economy, and in this case, economic power belongs to consumers (who essentially have the power of choice in matters of consumption) and to producers (who have this same power over the methods of production).
An institutional framework that ensures the smooth running of these exchanges is of course necessary, but it must be as moderate as possible.
- WHAT METHOD SHOULD BE USED TO ACCELERATE ECONOMIC DECENTRALIZATION?
The economic market in the vast majority of countries in the world is tending to be increasingly decentralized, but the monetary system is still anchored in a centralized approach. Currencies are forced to be traded. Indeed, since the end of the gold standard, we can no longer exchange our currency for gold. Moreover, in general, there is only one legal tender in each country, so economic agents do not have much choice but to always exchange their currencies against the local currency in order to make exchanges.
Example. If you are in the United States of America and you want to go to Europe, you are obliged to exchange your dollars into euros (which of course will cost you money) and the central banks benefit from this.
However, with the revolution of technology, the BLOCKCHAIN brings a solution from now on impossible to circumvent and accessible to all. In concrete terms, CRYPTOCURRENCIES such as BITCOIN and USDT, generated on blockchains, offer the opportunity to any holder to break the barriers of monetary centralization by banks. With CRYPTOCURRENCIES, the power returns to all users.
Example: if you are in the United States of America and you want to travel to Europe, you can buy your plane ticket in Bitcoin, your hotel room in USDT, your rental car in BNB and if you ever decide to buy an apartment in Asia, you can do it using Ethereum. Whatever the case, the value of your money does not change depending on your geographical location in the world.
In summary, this decentralized economy system is now possible thanks to the combination of several technologies: cryptocurrencies, the blockchain (which simplifies peer-to-peer exchanges) and decentralized finance.
- ADVANTAGES OF A DECENTRALIZED ECONOMY
The market economy is dominant in the world today because it has enormous advantages:
– The consumer and the producer are at the center of the economy and therefore decide what is good for them.
– The intermediaries in the transactions are enormously reduced
– Administratively, it costs almost $0 because the State no longer needs to hire a large number of civil servants to manage the entire economy
– The economy is certainly more dynamic but more stable. If in a centralized economy the government makes bad organizational choices, the national economy will be damaged in a short time.
– It promotes innovation and productivity
- KALIZA ($AZA): THE PIONEER OF THE DECENTRALIZED ECONOMY
The KALIZA platform is an innovative structure, pioneer in the field of decentralized economy and will democratize access to investment opportunities (selected by a team of professionals). This is to give the opportunity to anyone to sell/buy goods (real estate, vehicles, NFT, artworks...) all over the world without any geographical or paperwork barrier.
Indeed, KALIZA aims to tokenize the world through its $AZA token. Thus, thanks to $AZA, investments will be more than simplified in the real world.
For more information, visit https://linktr.ee/kaliza