Blockchain Trilemma vs Decentralization

The Blockchain Trilemma describes the fundamental challenge that blockchain networks can only optimize two of three critical properties simultaneously: decentralization, security, and scalability. This technical constraint forces every blockchain project to make strategic trade-offs that define its capabilities and limitations.

Decentralization is the distribution of authority, control, and decision-making away from a central entity across a network of participants. In cryptocurrency, it refers to blockchain systems operating without central control, where network participants collectively validate transactions and maintain security.