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by darawk 3051 days ago
> Bitcoin is just as centralized as banks are, for instance.

That's a rather odd statement. Can you justify that?

3 comments

I've put it in the second example. People can manage their bitcoins by themselves, but instead they let exchanges manage it for them. So all the problems of centralization (exploitation of users, market manipulation, big time theft, etc) can be found in the bitcoin ecosystem as well.

You see the same history repeating, just a lot quicker. Therefore I assume whatever you do with blockchains will become a centralized system as well.

PS: If you think about it, as technology cash is even more decentralized as bitcoin. Yet banks happened.

https://www.bloomberg.com/news/articles/2017-12-08/the-bitco...

A handful of actors with a controlling stake isn't exactly the same thing as "centralized" but it's close.

It's also inherently "centralised throughout liquidity". Because it's both deflationary and risky, the amount of liquidity available at any given moment is small, so a willing actor with some money at hand can affect the market disproportionately. Look at the way Tether manipulated the price.
Not really. They're pretty different things.