Decentralization has significant coordination costs.

· Bits and Bobs 6/2/25
  • Decentralization has significant coordination costs.
    • Coordination costs scale super-linearly.
    • The benefits of decentralization are abstract for most people.
      • They're more about downside capping of tail risk.
    • That's one of the reasons that things like convenience and innovation-rate often win out in practice.

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