The decentralization of your digital assets is vital for security. If there is a disaster in one part of the overall system, your assets can remain largely untouched. The web is a perfect example of a decentralized system, just as some assets are, but with different blockchain methodologies. The overall concept of decentralization can be complex because it is. Yet, there are some key things you need to know before deciding on the use of such a network for your assets.

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Useful Corporate Structures

Digital assets must be managed and controlled properly to make them work for you. And there are a few ways to do this. The fundamental decentralized system of your digital holdings needs a management system to match. Services like Western International Trust Company Limited offer the functionality such a system requires as they can hold and manage digital assets using a trust and ownerless structure without shareholders or members at the central system level.

Assets that are Decentralized

It is easy to assume that all digital assets are decentralized, but this isn’t true. The most common digital assets like Bitcoin, Ethereum, and other popular cryptocurrencies are, but some are not. Collectible NFTs and, indeed, real-world artwork are also decentralized, and both can be managed using the Blockchain.

Other real assets that are decentralized include gold and silver. This means they are not under the control of a single entity and produced independently.

Decentralization of Your Digital Assets and Blockchain

Anything on the Blockchain is decentralized because the Blockchain itself uses multiple routes via a democratic decision model and member-owned software. This is in direct opposition to centrally routed systems to and from data centers via a strict hierarchy. That being said, assets can also be semi-centralized and managed by multiple parties.

However, the Blockchain allows for the anonymity of owners while being completely transparent via systems like B2B networks.

Types of Decentralization

Systems can be fully centralized, semi-centralized, and fully decentralized, ranging from a single entity control to a system devoid of single control. To further decentralize the systems, several Blockchain servers are separated geographically in the physical world.

This means the system can continue to run your assets if one part of it goes down, like a built-in redundancy. This helps with asset transactions and works best when fewer people or organizations control a network.

The Pros and Cons

Decentralization via Blockchain is a secure method of managing and holding digital assets. Some of the best reasons to use it include the inherent trust between businesses using digital ledgers. There is also an increased accuracy of recorded data, and downtime is reduced because there is no single failure point. However, there are some cons to using decentralized methods, such as cost, complexity, and the issue of complacency with a lack of oversight.


There are certain corporate structures that can help the decentralization of your digital assets. This is mostly managed via the Blockchain, which helps with transparency and accuracy, especially between businesses. However, it is a complex and costly system with little oversight.