Distributed Business Accelerator has embarked on an ambitious plan to address issues that have stifled blockchain technology adoption. While the digital ledger technology is a groundbreaking innovation, it continues to struggle with inherent trust issues.
Decentralized Blockchain Trust Issues
Vitalik Buterin, Ethereum Co-founder, is on record calling for improvements on decentralized blockchain. The blockchain enthusiasts insist that the best mechanism is one that tries to allocate best resources to those in most need. Some of the mechanisms known to do this to perfection include those involved in auctions, markets as well as exchanges.
How fairly resources are allocated will always come down to the credibility of the mechanism. For the longest time, the centralized mechanism has performed this task be it with some level of success. However, in an era where trust issues is a big deal, the focus is slowly shifting towards decentralized systems.
While blockchain, which promotes decentralized system, seems to be the best option, it also features some deficiencies. Buterin is on record complaining on why Decentralized blockchain may not be the ultimate solution altogether.
Some of the challenges that grapple decentralized blockchain include miner/ validator manipulation. The technology also continues to grapple with privacy issues given its transparent nature. Anti-Sybil and collusion are some of the other issues.
Distributed Business Accelerator is in the process of creating a socio-economic model to fix current trust issues with blockchain. The model under development will come with a hybrid centralization as well as decentralization. Under the new system, blockchain users will be able to establish mutual trust.
“The hybrid model provides the community a chance to participate in the private equity round through various means but dedicates the investment decision to the centralized token fund, which consists of investment specialists and funds,” Distributed Business Accelerator in a statement.
The proposed hybrid system is to come with central moderating force. However, the system will not have the authority of traditional central authorities. The model will provide the community an opportunity to participate in private equity round through various means. The startup plans to generate a token for incentivizing the community participating in the project.
However, it is also experimenting with a different approach for tokens distribution. Distribution of about half of DBA tokens will be through votes and contributions. People who participate in the creation of value through identity registration and referrals will be the main beneficiaries.