The chink in the armor: traces of centralization

[Ambatman]

I do not know what the solution will be of if there is one. The trends of closed and failed exchanges stealing people's money was not enough to scare others from centralized exchanges, cause they want to trust something. The exchanges can come up with "SAFU" and everyone relaxes again or were never alarmed at all.

Understanding the problem is a first start
Before a Doctor starts treatment, Diagnosis are taken after finding the problem
Solution starts coming in.
Centralization has already sipped into the bone of civilization and decentralization is seen as a form of anarchy.
The sad thing is not many are interested in privacy or freedom
Many selling their data in form of KYC for some tokens.
If it would be possible to create a decentralized exchange where changes can be made by majority vote and there would exist equality no matter how many of a coin an individual have
Everybody would be entitled to a vote as long as they hold a stake in the exchange.
The notion that the amount or how powerful a body is the more the control is one thing that's fighting against decentralization and I believe that's one issue with mining pool of Bitcoin.
Back to my hypothetical exchange 
It would serve more like a market in introducing interested buyers and sellers anonymously and maybe a code or AI to serve as escrow by only allowing a connection if a user have said amount( to prevent fraud) in their wallet via explorer.
Or better still something of similarity with monero.
Well me speaking jargons
Know nothing about coding.

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[pooya87]

I guess the question is what we mean by eradication.

Depending on the case it could mean removal of the traces of centralization as much as possible (eg. in case of mining pools) and in other cases it could mean inventing alternatives (eg. in case of CEX we should offer a truly decentralized exchange, in case of server-dependent SPV wallets we should offer more decentralized SPV clients).

Mining pools can be moved outside the United States, but it is still possible to establish a legislative framework between several countries and it is easy to know where mining is located.

Mining (actual hashrate) and mining pools need to be spread around the globe specially in independent countries as much as possible. They should remain in US as much as they should have remained in China and as much as they should be created in other countries like El Salvador.

That's how we achieve true decentralization. In a peer-to-peer network, we can not eliminate malicious "peers", we just populate the network with enough "honest peers" that the malicious one doesn't affect anything.
That's the same with pools, we don't need to remove a malicious pools but we should make them ineffective. For example the reason why the malicious MARA pool is not a serious threat is because it has ~3-4% of the hashrate. But there are other pools with higher hashrate and some are located inside same jurisdiction...

[NotATether]

I do not know what the solution will be of if there is one. The trends of closed and failed exchanges stealing people's money was not enough to scare others from centralized exchanges, cause they want to trust something. The exchanges can come up with "SAFU" and everyone relaxes again or were never alarmed at all.

How come I or some other random person can say "SAFU" and nobody listens, but some giant scheming exchange without your best interests in mind can say it and everyone believes them and calms down?

Ever thought of that?

[un_rank]

...Ever thought of that?

I do not know the context you or anyone else has said it, but for the big, scheming exchanges, people listen cause they want to trust something. The exchanges do not even need to try, but they do with SAFU and when they (coinbase) tried to create what they were calling a non custodian wallet, though it was very far from that.

- Jay -