Anytime they mentioned
decentralized, some people don't understand what it's about until experience is done on one person. Couple of days ago, there was this token called
World liberty financial price token(WLFI), it's a token backed by Trump family and it looks like some big players had a good buy before it went live on exchanges.
Yesterday, Justin Sun cried on one of his
tweet about how his token were frozen by the team worth $500m, it has been an alleged that he is known for price manipulation and dumping coins. I don't know if this has ever happen in the history of tokens sales that were unlocked only to be locked, there wasn't any form of agreements, this are unlock tokens.
This is an example to people that invest in anything, too centralized cost a lot and this is just one of the problems of centralization.
Token were frozen? It should not be a surprised because it is no longer a news that centralisation automatically makes crypto become just like ordinary bank money.
With their single point of control method for instance in centralised exchanges, custodial wallets, or even CBDCs, one entity has the power to freeze, reverse, or block transactions just like regular banks can. We all know this undermines the idea of censorship resistance.
How about the custodial risk where holding assets on centralised platforms means you don’t truly own them? “Not your keys, not your coins” which is a total joke! The custodian controls withdrawals, access, and security and that's no different from a bank holding your deposits.
I will continue sounding it in the ears of those who care to remind them that many centralised services enforce Know-Your-Customer checks, transaction monitoring, and reporting to regulators. That mirrors traditional finance where every transaction can be tracked, taxed, or restricted.
I could go on and on because the disadvantages are too much for a seemingly innovative initiative and therefore is likely to prove to be disaster soon!
Enough said.