A critical look at decentralization: Part 3 – Maybe not a good idea after all? - Episode 331 - by cryptohunt.it

A critical look at decentralization: Part 3 – Maybe not a good idea after all?

Welcome to a new year and to the Cryptohunt Jam, where we continue to spend a minute a day explaining the intersection of exciting new technologies and your world. As always: In plain English.

In the last two episodes, we've explored why some people have lost trust in our organizations and institutions and how some think decentralization is the key to solving that issue. And we took a deeper look at a rallying cry that's getting louder in Silicon Valley these days: To decentralize Twitter.

But does that really make sense? Today, a critical look in the third and last part of our series.

Imagine Twitter was run by its users in a true decentralized democracy. Its future determined by one majority vote at the time.

But are we really solving a problem here? Instead of the opinion of a random billionaire owner, now its the group of most active users who make decisions, or don't if they are not interested. And when they do, they may not have the full picture, nor may they have a long term vision for the company. Hard and fast decisions need to be made sometimes - and maybe our sometimes-not-so-favorite space rocket billionaire is still better at that than a crowdsourced opinion.

And now to the boring stuff: Renting offices, buying software licenses, and getting the plumber if the toiled is clogged: Will we all decide each thing together?

Of course not, so a person will get appointed, maybe a manager for that person - and suddenly we are walking a line between centralized and decentralized again.

You get our point: Just because something is the latest buzzword in tech, that idea may not actually make sense when applied. As long as there is no real functional benefit, such as owning your data and being able to move between social networks, its a solution in search of a problem.

Ultimately, the markets will speak. If Musk screws up Twitter more, a competitor like Mastodon will rise and people will move. Even Google isn't untouchable. Decentralized or not.

This was part 3 of our critical look at the idea of decentralization. As always - sometimes it makes sense, often not - you decide.

And tomorrow, we'll continue this thought with an area that could truly see disruption by blockchains - the banking system. Stay tuned!

This podcast is produced by Cryptohunt.it, the easiest place to learn all about Web3. Copywriting is done by Arndt Voges, Social Media is done by Brett Holleman, design is done by Carmen Rincon, and my name is Christian Byza, Co-Founder of Cryptohunt and I am your host of this daily show.

Disclaimer: This podcast references our opinion and is for information purposes only. It is not intended to be investment advice. Do your own research and seek a duly licensed professional for investment advice.