Before we start detailing both perspectives called decentralized and SocialFi, get to the basics. Let’s start with, what is decentralization? Decentralization is a non-centralized network that allows every user to deal with every piece of the secured system atmosphere. This is what brings the personal key of a secured platform to the users in which there is no centralized Users can get a personal sense of security in which any kind of third-party interference is prohibited.
If we are taking both decentralized and SocialFi together and want to see the major difference between them, then it’s not rocket science that we can’t understand. SocialFi is a social platform that has a finance domain with social intelligence mixed, it comes with web3 integration. Whereas decentralization is something we have discussed in the earlier section of this blog. SocialFi can give full control of data to the users.
Can social media really be decentralized? Let’s keep in mind that a decentralized is a network that cannot be controlled. For example, Bitcoin is a 100% decentralized network because it is not controlled by a person or a group. It has no CEO or Board of Directors, it is basically an uncontrollable network. The people that own Bitcoin are the real CEOs of Bitcoin.
Does that mean SocialFi is not decentralized, Yes or no? if a user can control the crypto assets that make them a rightful owner. If user data is not controlled by any company that also makes them the rightful owner of their own data. But what if the network they are using has a CEO or Board members? It should not matter to consumers, if data is not being controlled or manipulated by any network or company it can unarguably operate as decentralized entity.