True financial decentralisation is impossible in the current world, unless governments opt out of governing.

I expect this title will generate some fiery discussion, though I think there’s merit in evaluating a contrarian view. Here we go!

The definition of decentralisation is – the transfer of control of an activity or organization to several local offices or authorities rather than one single one.

Regarding this definition we can consider the financial system/fiat as the current ‘single’ authority, which is overseen by singular governments and central banks, and the idea of blockchain as the transfer to multiple authorities.

While the concept of decentralisation is excellent and incredibly social in nature, the issue is that we simultaneously live in a world where we elect leaders, pay taxes, follow created laws, and are provided with basic services, education, and social structure in return – I have a somewhat developed, democratic country in mind as context for this description.

It is the governments job to govern (I’m really blowing minds here aren’t I), and as such they simply can’t ignore something as large and with the huge potential that is blockchain.

I mean, they did for awhile, until they couldn’t.

Governments have to act and decide upon laws regarding blockchain. Any government not doing so now is basically sticking their head in the sand; governments buried in sand get voted out. The problem is they have their own interests and will govern accordingly. Some laws are fair, for example I think paying tax on crypto is fair, in the same way I need to pay tax from fiat to support the structure of my country.

Other laws, maybe not so logical. I mean, the allowance of banks to be able to tell us we can’t invest in crypto for our own good is absolutely ridiculous. So is the ludicrous cost of transfer fees across countries.

My point is, there will be rules in a world run democratically. Tornado cash being sanctioned is an example of a rule that is concrete, whether liked or not. Laws help society maintain some order, and through Millenia of evolution laws seem to have formed the most effective way for humanity to progress.

Personally, I’m not sure if humans could handle pure autonomy at all, financially or otherwise. Please consider I’m speaking generally, including your local doctor and your local armed thief in the same bracket.

Basically, my unpopular opinion is that I don’t think humanity is ready for true decentralisation, and therefore we must accept that there will be some rules to follow. Our mission, at least how I see it, is to fight for the rules to be fair and to undermine the strict control of the current system to allow us greater freedoms, within logical economic reason.

I hope to see some different and unique perspectives from everyone, and gently offer a reminder that this is aimed to generate discussion, not attack anyone personally.