This did not get the attention of some other crypto explainers (Ravikant, O’Shaughnessy) but I found it to be excellent.

This illustrates my main takeaway, albeit in Ethereum:

And this minor detail, projected electricity use exceeds that of Japan,

A mantra of “decentralization is good” is often ignorant of basic math and the laws of physics. It can stand in the way of actually solving problems, imo.

Here is a great summary of this viewpoint as it relates to blockchain (which is herein defined as a platform for creating decentralized apps), with one important exception:

“Bottom line: centralized applications beat the pants off decentralized applications on virtually every dimension.


And not only are decentralized applications better at this one thing, they are the only way we can achieve it.

What am I referring to?

Censorship resistance.”

I would only add that of course humans achieved censorship resistance long ago with metal coins.

Let’s see if there are other examples where a distributed application seems to work better than centralized.

  1. Equity swaps market. A purpose-built blockchain app has been tested successfully. This seems to be blockchain for the sake of blockchain.
  2. Logistics. There seem to be opportunities with various parties simultaneously needing different data about the same things (trucks, packages, etc). A distributed ledger may make sense.


People figuring it out, nicely written,

Tangential nice quote, “If you invented cash today, it would be illegal too.” Kinda is.


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