Crypto is not becoming more centralized.

Investors/users/the public are embracing more centralized blockchain protocols and investments.

On the retail side they're choosing speed, price and less responsibility. The institutional side is choosing all that as well as being additionally motivated by threats of governmental oversight.

There are decentralized (or perhaps "less centralized") options to choose from, but they are nowhere near as popular (by MC and TVL) at this stage. Decentralized networks will always take longer to execute, and require much more personal responsibility and accountability on behalf of users. It has only taken a single, greedy mistake to transform a decentralized, crypto-libertarian into a CeFi statist.

Whether or not the original raisons d'etre for cryptocurrencies is ever fulfilled is, as yet, an open question. "We, the people" are the ones who will provide the answers, and those answers are increasingly "CeFi > DeFi".