Decentralization management in the context of Chinese history and modern financial services

Year 2020, Volume: 3 Issue: 2, 46 - 59, 22.09.2020

Kai Chen

https://doi.org/10.38016/jista.696791

Abstract

The exploration of centralized and decentralized governance never stops along Chinese history from the agricultural and feudal society to modern digitalized ecosystem nowadays and the conflict between these two managerial ideologies in Chinese history is a conflict restricting but supporting each other. With the emergence of Bitcoin and the deployment of blockchain technology which is the technical infrastructure of encryptcurrencies, decentralized management attracted attention from various industries and domains especially traditional financial system. The practice of blockchain in payment, settlement, supply chain, insurance and other domains is in a critical moment with support from government and regulations. As the heterogeneity of social ideology and overall productivity in feudal society and contemporary society, we can understand the relationships between economy and managerial models, centralization and decentralization, and try to find efficient strategies challenges in decentralized management based on blockchain technology. Besides the thought-provoking changes brought by blockchain in financial services with the attractive characteristics including decentralization, transparency and immutability, the practical problems in deployment require people to do more research and experience new strategies. This paper aims to analyze the decentralization management based on Chinese history and modern financial services with theoretical study and analysis from the perspective of historical and economic development related to blockchain-enabled centralization and decentralization. With analysis of the application of blockchain in financial services, a better understanding of decentralization management is visible and meaningful for further research of blockchain technology-related projects.

Keywords

Decentralization, Centralization, Blockchain technology, Chinese history

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