Why Are Centralized Institutions Embracing Decentralized Tech?
At first glance, it seems contradictory that banks, corporations, and governments—entities built on centralized control—are aggressively adopting blockchain technology. Here’s why they’re co-opting decentralization while gutting its revolutionary potential:
🏦 1. Efficiency Over Ideology
- Cost-cutting: Blockchain automates intermediaries (e.g., JP Morgan’s Onyx settles $1B+ daily in repo trades).
- Faster settlements: Visa’s crypto rails process cross-border payments in seconds.
- Reality check: They use private blockchains—no decentralization, just better accounting.
💰 2. New Revenue Streams
- Tokenization: BlackRock’s BUIDL fund tokenizes bonds for institutional clients only.
- Stablecoin dominance: PayPal’s PYUSD and SWIFT’s CBDC experiments let them control digital cash.
- Key detail: These are walled gardens, not open networks.
🕵️ 3. Surveillance by Other Means
- CBDCs: China’s digital yuan tracks every transaction; US/EU equivalents will too.
- "Regulated DeFi": Coinbase’s Base chain complies with OFAC sanctions (unlike Ethereum mainnet).
- Irony: They rebrand financial censorship as "consumer protection."
⚔️ 4. Neutralizing the Threat
- Absorbing crypto: SEC-approved Bitcoin ETFs (like BlackRock’s IBIT) let Wall Street profit while keeping custody.
- Killing privacy: Exchanges ban Monero; Chainalysis sells tracking tools to governments.
- Endgame: A centralized blockchain economy where they still pull the strings.
I forgot to change the template in the thumbnail, but this was actually made using Canva AI image generator. First, I had Canva AI write a short story about the crypto king and his court then generate this image of the crypto king lol
🔥 The Bottom Line
They’re not adopting decentralization—they’re adopting a sterilized corporate version of blockchain that preserves their power. Meanwhile, real decentralized systems (Bitcoin, Ethereum, Monero, HIVE) remain existential threats to their control.
Time to choose: Will you use their chains—or own your sovereignty with unstoppable crypto?