One of the biggest advantages that cryptocurrencies have over their fiat counterparts is the decentralized status, which provides higher security, reduces attack risks, and ensures that coins are not controlled by a central entity. Despite this aspect, recent research has concluded that the majority of digital assets available on the market are centralized.

To put things better into perspective, CryptoCompare, which is a market data aggregator, has recently published a digital asset analysis for over 200 coins. The authors analysed the digital assets from a variety of different perspectives, and using more than 30 attributes. When doing the analysis, researchers considered the supply concentration, distribution, market cap, governance, volume data, regulatory classification, and decentralized status of the coins.

As you may already know, Bitcoin is not the only manner of sending digital money across the Internet. Some other options include Stellar, Ripple, Litecoin, and Ethereum alongside with many others.

While Bitcoin is by far the most popular option out of these, there is always a way of creating something better. An interesting idea has recently begun taking shape, and it aims to allow all these ledgers to talk to one another. To put things better into perspective, the platform would allow people to send money between the systems via the same protocol. This can be accomplished by creating a single worldwide network that can easily unite all digital currencies and their afferent networks, together with the actual cryptocurrency users. In technical terms, the platform builds a system where two ledgers can exchange money through something known as a third-party connector, or validator machine. However, thanks to cryptographic algorithms, an escrow of the funds is created, and the exchange is only made when both parties agree that the right sum is available, thus getting rid of trust issues. In the case of domestic transactions, ledgers participating also have the possibility of choosing domestic validators, which means that only the ledgers which are involved in the transaction can track it, thus hiding the particulars of the transaction from the validator.