Blockchain with central authority is the worst of both worlds.
At least when I report fraud to credit card or my bank, they can stop or undo/chargeback a transaction.
Of course n can be smaller and the specific people less trustworthy, but that's quite a different thing.
With decentralised money, you get the safety of a globally distributed attestation backed by cryptography without a single authority controlling the supply of money or your funds.
There is no halfway option. You either have a single authority that can exercise control or you do not; number of delegates for exercise of control is almost irrelevant since you can change banks.
