Money 2.0 Stuff: The centralized-decentralized identity crisis

Centralized companies building on top of decentralized protocols are currently faced with a bit of a conundrum. As profit-seeking entities, their primary responsibility is to, well, create profits and, eventually, share those profits with their investors. The path to profit creation for low-margin companies requires on-boarding a high volume of users and, somewhere in the process, charging some kind of fee to access the services provisioned.

Here’s the catch: in their current state, decentralized protocols are not particularly amenable to the onboarding of large volumes of users. Barriers to adoption can be divided into three broad, semi-interconnected categories:

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