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  • Guide to Developing on Layer One X
    • Contents
    • L1X vs. Other Chains
    • L1X Technology Overview
      • X-Talk Overview
      • L1X System Architecture
      • XTalk Deep Dive
  • L1X Documentation
    • Setup L1X Development Environment
  • Use Cases
    • Use Case 1: Decentralised Finance (DeFi)
      • Key Components and Protocols
      • Use Case Implementation Examples
      • Future Trends and Innovations
    • Use Case 2: Non-Fungible Tokens (NFTs)
      • Applications in Art, Gaming, and Collectibles
      • Use Case Examples and Case Studies
      • Emerging Trends in NFTs
    • Use Case 3: Identity Management
      • Importance of Self-Sovereign Identity
      • Use Cases in Identity Verification and Authentication
      • Projects and Initiatives in Identity Management
      • Privacy and Security Considerations
    • Use Case 4: Content Monetisation
      • Challenges in Content Monetisation
      • Blockchain Solutions for Micropayments and Royalties
      • Use Case Examples in Publishing, Music, and Media
      • Future Opportunities and Trends
    • Use Case 5: Voting and Governance
      • Advantages of Blockchain in Voting Systems
      • Use Cases in Elections, Polls, and Governance
      • Projects and Platforms for Decentralised Voting
      • Challenges and Considerations
    • Use Case 6: Decentralised Storage
      • Problems with Centralised Storage Solutions
      • Use Cases in Decentralised File Storage
      • Projects and Platforms for Decentralised Storage
      • Scalability and Performance Challenges
    • Use Case 7: Gaming and Virtual Worlds
      • Introduction to Blockchain Gaming
      • Use Cases in Virtual Economies, Assets, and Ownership
      • Notable Projects and Success Stories
      • Trends and Innovations in Blockchain Gaming
    • Use Case 8: Healthcare and Medical Records
      • Importance of Data Integrity and Security in Healthcare
      • Use Cases in Medical Records Management
      • Projects and Initiatives in Health Data Management
      • Regulatory Compliance and Privacy Concerns
    • Use Case 9: Decentralised Autonomous Organisations (DAOs)
      • Understanding DAOs
      • Use Cases in Governance, Funding, and Decision Making
      • Future Developments
    • Use Case 10: Supply Chain Management
      • Overview of Supply Chain Challenges
      • Blockchain Solutions in Supply Chain
      • Use Case Examples in Tracking and Traceability
      • Potential Benefits and Challenges
  • Get Started with L1X SDE
    • L1X Workspace Overview
      • L1X SDE toolkit architecture
    • Development Workspace Environment & Contract Types
      • 1 - Contemporary Contracts
      • 2 - ERC20 Contract Deployment and Cross Contract Call
      • 3 - X-Talk Flow Cross Chain Contract
      • 4 - Balancer-v2
  • Build with Developer Playground
    • Developer Playground Resource
  • Core Concepts
    • Account
    • Address
    • Transaction
    • Smart Contract
    • Contract Lifecycle (VM)
    • Cross-Contract call
      • L1X VM Cross-Contract Calls
      • L1X VM-EVM Cross Contract Calls
    • Cluster
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  1. Use Cases
  2. Use Case 6: Decentralised Storage

Problems with Centralised Storage Solutions

Centralised storage solutions pose several problems and challenges, which can have significant implications for data security, privacy, and accessibility.

One key issue with centralised storage solutions is the risk of data breaches and security vulnerabilities. Centralised storage systems typically rely on a single server or data centre to store large volumes of data, making them attractive targets for cyberattacks and hacking attempts. A successful breach of a centralised storage system can result in the exposure of sensitive information, such as personal data, financial records, and proprietary business information, leading to financial losses, reputational damage, and legal liabilities for affected individuals and organisations.

Furthermore, centralised storage solutions are susceptible to data loss and downtime due to hardware failures, software bugs, and natural disasters. In a centralised storage environment, all data is stored on a single server or location, making it vulnerable to outages and disruptions. A hardware failure or software glitch can result in the loss of data and downtime for users, leading to productivity losses, service interruptions, and financial costs for businesses and organisations. Additionally, centralised storage solutions may lack redundancy and failover mechanisms, further increasing the risk of data loss and downtime in the event of a system failure.

Another problem with centralised storage solutions is the lack of transparency and control over data. In a centralised storage environment, users typically relinquish control of their data to third-party providers, who may have their own terms of service, privacy policies, and data management practices. This lack of transparency and control can lead to concerns about data ownership, data sovereignty, and data privacy, as users may be unsure of who has access to their data, how it is being used, and where it is being stored. Additionally, centralised storage solutions may be subject to government surveillance and data access requests, further compromising user privacy and security.

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Last updated 1 year ago