Is Bitcoin really decentralised

[lionheart78]

Bitcoin is independent of any central authority this is the reason why it is decentralized.  But when it comes to economic events, Bitcoin like any other commodities and stuff are being influenced, but this does not mean they are being controlled.

Many of us asked the same question about Bitcoin being tied to USD, it is because USD is the dominant unit of account.  If Bitcoin became dominant, we can then say the other way around like  USD being tied to Bitcoin, but this does not mean USD is decentralized.  The same goes for Bitcoin to USD.

While there may be no central body that controls it directly, one cannot really not deny the fact that in the long run it really cannot be independent of fiat influence

Everything is influenced by fiat, one reason is the one I stated that it so because fiat is the dominant unit of account.  Just like the other reply stated, this does not mean that Bitcoin is controlled by the government.  Though I am open to the possibility that one day when the global government starts its Bitcoin reserve, there might be a shift in power due to legal demands that may trigger the centralization of Bitcoin.

This is the possible worry of other members here as to why they are not fond of the government and centralized institutions butting in the Bitcoin economy and amassing huge part of the Bitcoin supply,  I just hope that this kind of thing won't happen in the future.

[Z_MBFM]

Yes, of course, decentralized means that no one can control it. Who can control Bitcoin? Can someone increase the supply of Bitcoin if they want or can someone shut down Bitcoin if they want? This is never possible in the case of Bitcoin. Yes, big investors can have an impact on the price of Bitcoin, this is because it is a volatile currency and it completely depends on the investment of the people, which makes the price go up and down in the market. If any company or any person could control Bitcoin, then they could bring the price of Bitcoin to a stable position and could increase the supply of Bitcoin at any time or create any amount of Bitcoin at any time. But none of this is ever possible for anyone. So of course, it can be said that Bitcoin is completely decentralized.

[SquallLeonhart]

Good question, actually. I believe nothing is fully decentralized because nothing can work in isolation. Bitcoins for as revolutionary as it is, has to depend on fiat otherwise there is no way to value it. I mean if you can't buy anything with BTC then it's hard to value it at all, and once you attach a fiat value to it such as $USD then it obviously gets controlled in some ways.

Can BTC be controlled by governments? Nope.

Does BTC required to be cashed? Yes. Which then makes it somewhat traceable.

So unless all the merchants and website start accepting BTC, there will be reliance on fiat and hence can be traced. There was a guy who stole millions of dollars from PrimDice like 10 years ago. If I am not mistaken, that guy has not been able to cash the BTC because it's being tracked by the cyber officials and once he moves the coins they will trace him.

[Wakate]

Yes, of course, decentralized means that no one can control it. Who can control Bitcoin? Can someone increase the supply of Bitcoin if they want or can someone shut down Bitcoin if they want? This is never possible in the case of Bitcoin. Yes, big investors can have an impact on the price of Bitcoin, this is because it is a volatile currency and it completely depends on the investment of the people, which makes the price go up and down in the market. If any company or any person could control Bitcoin, then they could bring the price of Bitcoin to a stable position and could increase the supply of Bitcoin at any time or create any amount of Bitcoin at any time. But none of this is ever possible for anyone. So of course, it can be said that Bitcoin is completely decentralized.

This is why the government is jumping on Bitcoin so that they could finally control everything as time goes on. I have heard some news about banks incoperating Bitcoin wallet into bank accounts so that you can easily process Bitcoin transactions from your account. It will convert your money into Bitcoin and send it to whatever wallet you want.

The big investors are also in the market to make money for themselves and they don't care about any market manipulation because they are the market eyes. Very soon we should expect more frequent random reactions in the market. Big institutions are investing for the purpose of causing turbulence in the market. The government also will be fully available to use good and bad news to move the market.

[bitgolden]

The price volatility is purely from the market, can't say bitcoin is not decentralized just because the price follow the economic trend or ongoing regulation.

As for bitcoin, it's truly decentralized in a sense that government can't halt or intervene with the blockchain.
Price is entirely different thing.

I agree. There is no doubt that no one owns or regulates Bitcoins, which is the very definition of decentralization for me. I believe it's us people who control the price of Bitcoins which is how things work in a decentralized market. When we had the first Corona virus wave, the price of Bitcoin went low.

I do believe there is some level of manipulation in the market by the big players but that's always going to be there and there is no solution to it. All markets that exist have big players who can crash or pump the price to a certain limit. Countries are trying to make their own cryptocurrencies now and these are the same organizations that called Bitcoin a "bubble" in past.

[coolcoinz]

This is why the government is jumping on Bitcoin so that they could finally control everything as time goes on. I have heard some news about banks incoperating Bitcoin wallet into bank accounts so that you can easily process Bitcoin transactions from your account. It will convert your money into Bitcoin and send it to whatever wallet you want.

The big investors are also in the market to make money for themselves and they don't care about any market manipulation because they are the market eyes. Very soon we should expect more frequent random reactions in the market. Big institutions are investing for the purpose of causing turbulence in the market. The government also will be fully available to use good and bad news to move the market.

Control everything? What does that mean? How are they going to make bitcoin centralized? By buying it all? I dare them to try.

Some people, like OP, make the mistake of blaming the bitcoin's price action on centralization. One has nothing to do with the other. Politics and central banks don't affect bitcoin directly, but indirectly through traditional markets. Traders who own stocks also often own bitcoin and when their stocks dump they will sell the whole portfolio, including bitcoin. Also, companies that emit stocks also buy bitcoin, which connects the markets.

[serjent05]

Good question, actually. I believe nothing is fully decentralized because nothing can work in isolation. Bitcoins for as revolutionary as it is, has to depend on fiat otherwise there is no way to value it. I mean if you can't buy anything with BTC then it's hard to value it at all, and once you attach a fiat value to it such as $USD then it obviously gets controlled in some ways.

Can BTC be controlled by governments? Nope.

We can expand the questions..

Can the miner be controlled by the government?
Can the developer be controlled by the government?
Can the nodes be controlled by the government?

I am hesitant to say no to the first two questions but I am affirmative that nodes cannot be controlled by the government. 

Does BTC required to be cashed? Yes. Which then makes it somewhat traceable.

As far as I know, there is no requirement to cash out Bitcoin unless a person wants it to convert to fiat.

[alastantiger]

With this does it really means it is totally independent from central control even if not directly manipulated?

Bitcoin is decentralized and that's how it was built and how it'll stay forever. Bitcoin having other factors affecting it, is normal for every currency but that doesn't mean Bitcoin is being controlled. You can do everything you want to do and it won't change the reality that you can use Bitcoin without a third party being involved. Bitcoin is peer to peer money and that's what make Bitcoin to be different from other payment systems. Bitcoin is totally decentralized but for now things mightn't be looking like it's meant to be because we haven't gotten the numbers of hodlers that'll make the Blockchain more decentralized but Bitcoin is decentralized and probably one of the few cryptocurrency that can be tested and trusted to be decentralized.

[Sticky Bomb]

Decentralisation means that bitcoin is not controlled by the government or banks..which is fair.

 How ever when you think about it, it is not entirely free from fiat and its value has to be tied to fiat.. in this case USD.

Bitcoin isn't dependent on Fiat. It can be purchased with Fiat directly, or swapped with stable currencies which has higher liquidity, but it doesn't mean it's dependent on Fiat.

Fiat in itself is affected by government policies and banks and so many factors.

No matter how the government manipulate Fiat, it doesn't affect Bitcoin because Bitcoin is a hedge against inflation and currency devaluation, money invested into Bitcoin is safer than those kept on Fiat as long as it wouldn't be needed immediately.

With this does it really means it is totally independent from central control even if not directly manipulated?

Bitcoin uses a community approach to propagation. Everybody's actions is a contribution to it's network. CEXs and government acquire Bitcoin and can regulate theirs, just like any other person can do with their Bitcoin whatever they wish.

To be totally independent of any form of centralization, it's important to use non-custodial wallets to store your Bitcoin, that way you're totally in charge of your coins.

[blackberrman]

Bitcoin is not under anyone's control. Behind the fluctuations in the price of Bitcoin, big investors and big institutions or a government work on its acceptance and value, but they cannot control it. No government can ever stop Bitcoin, but they can ban it in their own country if they want, which they can do because of the power of their country. But Bitcoin will never lose its existence because of their ban, so Bitcoin can be called decentralized.

[suzanne5223]

Decentralisation means that bitcoin is not controlled by the government or banks..which is fair.

 How ever when you think about it, it is not entirely free from fiat and its value has to be tied to fiat.. in this case USD.

 Fiat in itself is affected by government policies and banks and so many factors.
[snip]

 With this does it really means it is totally independent from central control even if not directly manipulated?

Yes, Bitcoin really decentralized and I am glad you said it yourself that "Decentralisation means that bitcoin is not controlled by the government or banks"

Although, the price of the market maybe manipulated  by institutional investors, and retailers. However, that does not have anything to do with controlling the Bitcoin ecosystem as whole and the last time I checked the Bitcoin consensus, block limit, and supply is still the same.
Hope you get my point? Manipulating or control the Bitcoin market price does have anything to do with controlling of the Bitcoin functionality.
I want to ask you a question. Do you still have the impression that they control Bitcoin?

[davis196]

Decentralisation means that bitcoin is not controlled by the government or banks..which is fair.

 How ever when you think about it, it is not entirely free from fiat and its value has to be tied to fiat.. in this case USD.

 Fiat in itself is affected by government policies and banks and so many factors.

In theory, Bitcoin is decentralized, but in reality there are nuances. Maybe you are misinterpreting the term "decentralized" with the word "independent".
It's the same thing with freedom. In theory, we are all free and have civil rights, but in reality, we all have to work in order to pay the bills, pay taxes, pay debts, raise our kids, etc.. Nobody is completely free in a society. We are free, but are we independent?
No payment system can be completely independent from the global economy.
BTC is measured to fiat, not tied to fiat. The BTC price goes up mostly because fiat money loses value.
The governments and the banks cannot control the BTC blockchain, but some governments can gain access over your BTC wallets(and they will confiscate your crypto, if they find a good reason to do so).

[Rockstarguy]

If you trade or have a little knowledge abou the crypto and Forex market, especially fundamentally with news, you might have discovered that major news events like CPI( consumer price index) and NFPs when there is a positive move on the USD, bitcoins value is affected too .. Even While most of its value is contributed to by transactions, halving and so on

 With this does it really means it is totally independent from central control even if not directly manipulated?

Control and effect of value are two different things. As long as there is demand and supply in Bitcoin, the price of Bitcoin can be affected by the masses or any influential person, but this does not mean Bitcoin can be regulated. The market value can be influenced by the activities of individuals in the market. How people react to a particular event or crisis can affect the market. However, Bitcoin is decentralized, meaning that nobody can control the network.

[Accardo]

Control and effect of value are two different things. As long as there is demand and supply in Bitcoin, the price of Bitcoin can be affected by the masses or any influential person, but this does not mean Bitcoin can be regulated. The market value can be influenced by the activities of individuals in the market. How people react to a particular event or crisis can affect the market. However, Bitcoin is decentralized, meaning that nobody can control the network.

Yeah, nobody, but everybody has the right to easily access and work on the network. The demand and supply of Bitcoin would rarely have a diminishing return anytime soon, and investors go for it because no much work is required on their end. They just buy and wait for 5 years and begin to see huge returns. Unlike investing on ideas like building a restaurant, schools, or hotels etc, most of such investment fail within the next six years. Paying of staff, cleaners, maintenance, doesn't exist in Bitcoin investment and the more users start to realize how good Satoshi has made investment in this generation through Bitcoin, they'll be a massive growth and adaptation of the technology.

[Swordsoffreedom]

Decentralisation means that bitcoin is not controlled by the government or banks..which is fair.

 How ever when you think about it, it is not entirely free from fiat and its value has to be tied to fiat.. in this case USD.

 Fiat in itself is affected by government policies and banks and so many factors.

If you trade or have a little knowledge abou the crypto and Forex market, especially fundamentally with news, you might have discovered that major news events like CPI( consumer price index) and NFPs when there is a positive move on the USD, bitcoins value is affected too .. Even While most of its value is contributed to by transactions, halving and so on

 With this does it really means it is totally independent from central control even if not directly manipulated?

As davis196 said , you are confusing "decentralized" and "independent" , they are 2 completely different concepts. Decentralization does not mean complete independence .

Bitcoin is a decentralized currency, meaning it is not controlled by any government or legal authority, but in order to function and survive , it depends on miners, demand ,  cash flow, regulations,...Or to be more precise , it depends on the world economy so it cannot avoid the impacts caused by the economy.

[coupable]

Decentralisation means that bitcoin is not controlled by the government or banks..which is fair.

 How ever when you think about it, it is not entirely free from fiat and its value has to be tied to fiat.. in this case USD.

 Fiat in itself is affected by government policies and banks and so many factors.

If you trade or have a little knowledge abou the crypto and Forex market, especially fundamentally with news, you might have discovered that major news events like CPI( consumer price index) and NFPs when there is a positive move on the USD, bitcoins value is affected too .. Even While most of its value is contributed to by transactions, halving and so on

 With this does it really means it is totally independent from central control even if not directly manipulated?

If you were to compare Bitcoin to fiat money, the difference between them is vast. It can be said that Bitcoin is completely decentralized, and its issuance and distribution are not subject to any central authority, making it impossible to control the network. However, regardless of comparison to fiat money and bank currencies, Bitcoin is not completely independent, as decentralized decision-making power can become centralized if the community's views are unified, as happened and is happening with network updates (the SegWit update in 2017), when miners agreed to adopt the update. Furthermore, whoever has the most control over mining processes can relatively control a portion of market activity.

[Wakate]

This is why the government is jumping on Bitcoin so that they could finally control everything as time goes on. I have heard some news about banks incoperating Bitcoin wallet into bank accounts so that you can easily process Bitcoin transactions from your account. It will convert your money into Bitcoin and send it to whatever wallet you want.

The big investors are also in the market to make money for themselves and they don't care about any market manipulation because they are the market eyes. Very soon we should expect more frequent random reactions in the market. Big institutions are investing for the purpose of causing turbulence in the market. The government also will be fully available to use good and bad news to move the market.

Control everything? What does that mean? How are they going to make bitcoin centralized? By buying it all? I dare them to try.

Some people, like OP, make the mistake of blaming the bitcoin's price action on centralization. One has nothing to do with the other. Politics and central banks don't affect bitcoin directly, but indirectly through traditional markets. Traders who own stocks also often own bitcoin and when their stocks dump they will sell the whole portfolio, including bitcoin. Also, companies that emit stocks also buy bitcoin, which connects the markets.

Do you know that those who have large holdings in the market tend to control the price? This is just like a game of thrones. If you don't have enough holdings, and when you are not in their cacus, you tend not to understand what's going in beneath the core. The government already have an agenda to control the price of Bitcoin so it would be favorable for them while the market keeps reacting to their news. When it comes to the speculation of Bitcoin price, their are people that would do it better, and they are the big institutions that are inject huge amounts of money to accumulate enough Bitcoin so that when they sell, the market is going to be bleeding while they will be using the opportunity to buy more when others in the market are complaining.

[leonair]

This is why the government is jumping on Bitcoin so that they could finally control everything as time goes on. I have heard some news about banks incoperating Bitcoin wallet into bank accounts so that you can easily process Bitcoin transactions from your account. It will convert your money into Bitcoin and send it to whatever wallet you want.

The big investors are also in the market to make money for themselves and they don't care about any market manipulation because they are the market eyes. Very soon we should expect more frequent random reactions in the market. Big institutions are investing for the purpose of causing turbulence in the market. The government also will be fully available to use good and bad news to move the market.

Control everything? What does that mean? How are they going to make bitcoin centralized? By buying it all? I dare them to try.

Some people, like OP, make the mistake of blaming the bitcoin's price action on centralization. One has nothing to do with the other. Politics and central banks don't affect bitcoin directly, but indirectly through traditional markets. Traders who own stocks also often own bitcoin and when their stocks dump they will sell the whole portfolio, including bitcoin. Also, companies that emit stocks also buy bitcoin, which connects the markets.

Do you know that those who have large holdings in the market tend to control the price? This is just like a game of thrones. If you don't have enough holdings, and when you are not in their cacus, you tend not to understand what's going in beneath the core. The government already have an agenda to control the price of Bitcoin so it would be favorable for them while the market keeps reacting to their news. When it comes to the speculation of Bitcoin price, their are people that would do it better, and they are the big institutions that are inject huge amounts of money to accumulate enough Bitcoin so that when they sell, the market is going to be bleeding while they will be using the opportunity to buy more when others in the market are complaining.

There are some whales who sometimes manipulate the market by selling large amounts of Bitcoin in the market. Because they already have a large amount of Bitcoin holdings. Only by buying and selling large amounts of Bitcoin can the price of Bitcoin be slightly up or down in the market. Since the price of Bitcoin depends entirely on investors, it is natural for this to happen, but no one can ever change the foundation of Bitcoin and no one can determine the price of Bitcoin as they wish. Those who manipulate the price of Bitcoin and lower the price buy more Bitcoin in the bear market. They take all the Bitcoin from the panic sellers. This is their own strategy. I think you say that Bitcoin is completely decentralized in all aspects.

[slapper]

Bitcoin isn’t controlled by any single government or bank. True, but that doesn’t mean it’s floating in some untouchable zone. Its price is a product of belief, speculation, and a never-ending feedback loop with the fiat world you mentioned. The so-called independence is practical, not absolute

If you actually look at how markets function, every asset, digital or not, gets sucked into the gravitational pull of fiat and macroeconomic news. CPI, NFP, Fed speeches? Of course they move Bitcoin. Because most people enter and exit via dollars or Tether or euros. The liquidity pool is denominated in the same currencies that Bitcoin supposedly escapes. Bitcoin’s decentralization is about transaction validation, not value isolation

Bitcoin was never meant to be fully detached from reality. True decentralization isn’t the absence of influence. It’s the absence of single-point control. Confusing “not centrally controlled” with “unaffected by global systems” is a big problem. The moment people believe value, it’s vulnerable to psychology, to news, to herd behavior

[hafiztalha]

Bitcoin isn’t controlled by any single government or bank. True, but that doesn’t mean it’s floating in some untouchable zone. Its price is a product of belief, speculation, and a never-ending feedback loop with the fiat world you mentioned. The so-called independence is practical, not absolute

If you actually look at how markets function, every asset, digital or not, gets sucked into the gravitational pull of fiat and macroeconomic news. CPI, NFP, Fed speeches? Of course they move Bitcoin. Because most people enter and exit via dollars or Tether or euros. The liquidity pool is denominated in the same currencies that Bitcoin supposedly escapes. Bitcoin’s decentralization is about transaction validation, not value isolation

Bitcoin was never meant to be fully detached from reality. True decentralization isn’t the absence of influence. It’s the absence of single-point control. Confusing “not centrally controlled” with “unaffected by global systems” is a big problem. The moment people believe value, it’s vulnerable to psychology, to news, to herd behavior

Bitcoin is totally decentralized because no one can control price of BTC and people are investing more money in that and it's supply is limited and millions of people are taking interest and it's price is not going down . There are thousands of people who are Investing money and they are earning best and they have profession or investment in this. People have to learn more because many people are doubtful to invest in cryptocurrency and we many projects are doing scams by using name of cryptocurrency and these are destroying respect of BTC in the market but intelligent people know that BTC is best investment which will be doub in next 2 years .Don't worry if anyone want to be investor of this because it will change life of them