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0 pointsdghlsakjg2y ago0 comments

Decentralized organizations (institutions?) are not at all immune to corruption and malevolent inside actors.

One look at the world of decentralized crypto-currency more than proves that corruption is not limited to institutions.

Corruption seems inherent to humans, the difference is that institutions are well aware of this, and frequently set up controls and systems to balance power and fight the most obvious forms of corruption.

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rglullis2y ago

No one (reasonable) ever said that decentralization makes us immune to corruption. The argument is that decentralization reduces concentration of power and the potential damage that inevitably will occur when anyone in a position of power fails or tries to abuse the power they have.

dghlsakjgOP2y ago

Again, look at crypto-currency, there have been more than ample examples that prove that a single person can aggregate power and wield it in self-interested ways.

rglullis2y ago

It's the opposite: despite all the scams that have occurred in cryptocurrency, the overall system still continues to work.

Rug-pulls are inevitable, what matters is whether people are left with power to move on or if they are trapped into the corrupt system. How many people managed to leave the banking system after the crash of 2008?

See also: Reddit. Despite all the protests, the absolute majority of people went back to it and accepted the conditions.

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hirako20002y ago

In any case the point made was that centralized systems always corrupt. Challenge it and dare finding one example that didn't get corrupted.

Also it is unjust to name crypto/Blockchain as an example of decentralized system that gets corrupted. All corruption story in fact are centralized , but labelled as crypto, or touch the field of crypto but nonetheless are very centralized. E.g mtgox, bitconnect, Celsius, FTX.

If not centralized, flawed in design. Unintentionally E.g Ethereum before the split that led to ETC. Euler more recently. Many others. And Many are intentionally flawed, e.g terra/Luna.

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throw48472852y ago

I don't think concentration of power is the root of corruption. Corruption is usually distributed across an entire system, and even if there is a boss at the top, they're reliant on a lot of other people to stay in power (see Tammany Hall). What corruption needs is mechanisms which can be exploited to ensure that a system designed for the public good can be used to enrich individuals.

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0 pointsdghlsakjg2y ago0 comments

Decentralized organizations (institutions?) are not at all immune to corruption and malevolent inside actors.

One look at the world of decentralized crypto-currency more than proves that corruption is not limited to institutions.

0 comments

rglullis2y ago

dghlsakjgOP2y ago

Again, look at crypto-currency, there have been more than ample examples that prove that a single person can aggregate power and wield it in self-interested ways.

rglullis2y ago

It's the opposite: despite all the scams that have occurred in cryptocurrency, the overall system still continues to work.

See also: Reddit. Despite all the protests, the absolute majority of people went back to it and accepted the conditions.

1 more reply

hirako20002y ago

In any case the point made was that centralized systems always corrupt. Challenge it and dare finding one example that didn't get corrupted.

If not centralized, flawed in design. Unintentionally E.g Ethereum before the split that led to ETC. Euler more recently. Many others. And Many are intentionally flawed, e.g terra/Luna.

1 more reply

throw48472852y ago

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