Concept

Decentralized computing

Summary
Decentralized computing is the allocation of resources, both hardware and software, to each individual workstation, or office location. In contrast, centralized computing exists when the majority of functions are carried out, or obtained from a remote centralized location. Decentralized computing is a trend in modern-day business environments. This is the opposite of centralized computing, which was prevalent during the early days of computers. A decentralized computer system has many benefits over a conventional centralized network. Desktop computers have advanced so rapidly, that their potential performance far exceeds the requirements of most business applications. This results in most desktop computers remaining idle (in relation to their full potential). A decentralized system can use the potential of these systems to maximize efficiency. However, it is debatable whether these networks increase overall effectiveness. All computers have to be updated individually with new software, unlike a centralized computer system. Decentralized systems still enable and all computers can share peripherals such as printers and as well as modems, allowing all the computers in the network to connect to the internet. A collection of decentralized computers systems are components of a larger computer network, held together by local stations of equal importance and capability. These systems are capable of running independently of each other. The origins of decentralized computing originate from the work of David Chaum. During 1979 he conceived the first concept of a decentralized computer system known as Mix Network. It provided an anonymous email communications network, which decentralized the authentication of the messages in a protocol that would become the precursor to Onion Routing, the protocol of the TOR browser. Through this initial development of an anonymous communications network, David Chaum applied his Mix Network philosophy to design the world's first decentralized payment system and patented it in 1980.
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