Andre Cronje: Investors and companies prefer centralization because decentralization is difficult to make a profit and complicated to operate
2024-10-11 06:54
Odaily News Andre Cronje, CTO of Sonic Labs, wrote on X platform that investors and enterprises prefer centralization because decentralization is difficult to make money and complicated to operate. He predicts that many decentralized applications (dapps) will transform into Layer 2, but when management becomes difficult, they will be decentralized and become Layer 1. Similarly, some L1s will also transform into L2s because it is easier to manage centralized sequencers, until they need to be decentralized again to become L1s. He believes that although it contradicts traditional technical concepts, the "monolitic" solution may prevail in the end.
