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by Nextgrid 1074 days ago
Problem is that web3 tries to tie everything to a cryptocurrency token, not willing to accept the fact that as soon as something happens off-chain and in the real world, most/all advantages of using cryptocurrencies and blockchains go away.
1 comments
kykeonaut 1074 days ago
It really is a shame that all blockchains (AFAIK) are tied to cryptocurrency as reward for participating in their consensus mechanism when it is not necessary the only way to do things.

In fact, I believe blockchain will never be decentralized as long as there is a means of accumulation of power over the blockchain, in many cases the accumulation of PoW computing power, or in PoS the accumulation of the cryptocurrency itself.

I also believe (without any basis other than the spirit of the correspondence from Satoshi) that Satoshi released Bitcoin in 2008 as a proof of concept, not as a project meant to be adopted by every institution. Bitcoin was created to address the Byzantine Generals problem, and AFAIK it was the first to truly do so. It was not created to be the blueprint to every other blockchain ever.

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Nextgrid 1074 days ago
The whole concept of decentralized trust-less environments requires some way to prevent malicious attackers from taking over the network. Proof of work, while extremely wasteful, does that job.

The main problem is that trust-lessness and decentralization isn't actually necessary, especially for most things that exist in the real world and are at the mercy of the legal systems they operate within (this applies to cryptocurrencies as well - the government doesn't need to break crypto, it can just make interacting/transacting with it illegal).

For a lot of real-world projects, the legal system is an adequate protection. Centralization doesn't require a profit motive - the central party could be set up as a non-profit and then have all the advantages of a centralized system while avoiding a lot of the drawbacks we see in for-profit operations.

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kykeonaut 1073 days ago
> Proof of work, while extremely wasteful, does the job.

True, yet you could even have Proof of Work without cryptocurrency. Cryptocurrency is used to incentivize PoW which attracts more people to the blockchain and strengthens the network and so on.

However, one could have Proof of Work without cryptocurrency, for example, one could reward the PoW with participation in the blockchain, or in this case, have drivers PoW to be able to take rides.

> Centralization doesn't require a profit motive

Yes, I also agree that centralization doesn't require a profit motive, and a centralized solution is deal for 99% of the cases.

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