Why decentralized social services fail

>The “why” is not technical.

This is one of thr few essays about decentralization that understands that the problem isn’t technical.

However, I’d go further than his explanations of incentives and say that the fundamental problem is that decentralized technical protocols do not solve the centralization of how money is spent.

Examples of that misunderstanding:

– SMTP the protocol is decentralized (technical) and yet we have giant email providers GMail/Hotmail/Yahoo which is centralized (money). The big providers spent $$$ on 1 gigabyte mail storage + backups + convenience. SMTP specifies how fields are laid out but it doesn’t put money in everyone’s bank account so they can run residential SMTP servers so the email ecosystem stays decentralized.

– Git the protocol is decentralized (technical) but Github the service is centralized (money). Why? Because Git the technical protocol is not a bank fund that gives every programmer a free $10 VPS account to host their own git repo. The centralization of money spent (Github invests in a datacenter but individual programmers do not) results in centralization.

– Bitcoin protocol is decentralized (technical) and yet the phenomenon of giant China “mining pools” emerges which is centralization (money). The ability to spend money on liquid cooled ASIC chips in a datacenter located near the Artic Circle is “centralized” to the entities that can spend that vast amount of money. The exceeds the ability for the home enthusiasts to compute hashes on a spare computer in their bedroom.

The common theme: technical protocols can be decentralized but the real-world implementation of those protocols end up centralized because physical things like cpus, harddrives, network bandwidth, etc cost money.

This pattern of decentralized technical protocols vs centralized economic behavior is ignored by virtually all decentralization enthusiasts.

So the real puzzle to decentralization is, “How do we _decentralize economic behavior_ when everybody doesn’t have the same amount of money to spend?” Nobody I’ve read about so far has figured that out . That includes Sandstorm/IPFS/Filecoin/Mastadon/Diaspora/Ethereum etc.

> The common theme: technical protocols can be decentralized but the real-world implementation of those protocols end up centralized because physical things like cpus, harddrives, network bandwidth, etc cost money.I agreed with you up until here. Not convinced that centralization is due to the economics of running a computer on a network. It’s also a due to reputation and trust.

People use gmail and hotmail, not just because they don’t want to pay for the computer, it’s because they trust these companies will do it properly and reliably.

Github isn’t the best example either. It didn’t spring up because of the economics of running a git server. It got big largely because of its social features, and also because it was a pretty trustworthy git repository. I feel far more confident pushing to a git repo than to some physical server somewhere. There’s a trust aspect.

I’ll skip Bitcoin and got to another mostly decentralized system: paper currency. Exchanging paper currency is largely decentralized, but most people deposit it in a bank, in part due to interest, but largely due to the trust the bank provides.

The common theme to centralized services isn’t the cost of computing hardware, but rather raising trust/reliability in the service, outsourcing expertise, and risk mitigation. Big central service providers are good at exactly this.

Political Violence is a Game the Right Can’t Win

Anybody who’s ever tried to get five people together for dinner knows it’s a pain, but look at the airport protests after the travel ban, and see how many people the hard Left can turn out on next to no notice.

.. righties face two major challenges: building things, and understanding the strengths, weaknesses, and tactics of their Lefty opposition.  Righties won’t do the same things as the Left, or do them in the same ways, but that doesn’t mean the Lefties don’t have lessons we can learn.

.. The first thing righties have to understand about Lefties is that lefties have a lot more practice building their own institutions, and assuming control of existing institutions, than their counterparts on the right do, and they share their practical experience with each other. Righties who like to build churches will build a church and worship in it. Lefties who like to build churches will:

  • build a church,
  • write a book telling people how to build churches,
  • go out and convince people church-building is the thing to do,
  • run workshops on how to finance, build, and register churches, and then they’ll
  • offer to arrange church guest speakers who’ll come preach the Lefty line.

.. The most organized groups on the Right are the pro-life and RKBA activists; everybody else on the Right should be learning from them.

.. The second thing to understand about Lefties is how they actually function.  There’s a lot of independence involved. Righties like hierarchy, so often think of the Lefties as taking marching orders from George Soros or whoever in a very hierarchical fashion. Not so much. A lot of left-wing organization is very decentralized, and they negotiate with other lefty groups as to exactly how they’ll do things and time things to not hurt each others’ work, so the labor movement’s march is not derailed by black-bloc window-smashing (see, for example, DIRECT ACTION, L.A. Kauffman’s excellent history of the Left from the 60s on).

.. The Lefties call that approach “embracing a diversity of tactics,”

.. But while it’s impossible to imagine, say, an abortion clinic bomber getting a cushy job at an elite university, that’s exactly what happened to a number of alumni of the 1970s leftist terror group known as the Weather Underground. As fugitives, they were financially and operationally supported by members of the National Lawyers’ Guild; afterward, they were so normalized that the 9/11 issue of The New York Times infamously ran a profile lauding Weatherman alumnus Bill Ayres.  By contrast, right-wing terrorist Eric Rudolph’s fugitive days were spent hiding in the wilderness because no one would help him. He was caught literally dumpster-diving for food. Potential right-wing extremists face opportunity costs that their left-wing counterparts do not.

.. Righties frequently make allegations of paid protestors when Lefties get a bunch of people together. Again, that’s not how it works. Think of Lefty protests as being like a Grateful Dead concert.  People absolutely got paid at a Grateful Dead concert: the band got paid, and the roadies got paid. But the Deadheads who followed the band around didn’t get paid.  They weren’t roadies, they weren’t the band; they were there because they loved the music.

.. The protestors aren’t paid.  The organizers are paid.  The people who train the organizers and protestors are paid. Basically, the way the Lefty protest movement works is sort of like if the Koch brothers subsidized prepping and firearms classes.

.. The affinity group structure began in Spain: anarchists there organized themselves into small groups of very close friends who knew each other very well, because such small groups were difficult to infiltrate.  Even if they were infiltrated, exposing one group wouldn’t blow the whole organization.

.. The idea is to create a very collaborative discussion.  This is partly due to the influence on the modern hard Left by Quaker organizers — if you remember those lengthy Occupy meetings that just went on and on and on, it’s because that’s how decision-making is done in Quaker meetings, and Quaker organizers taught the technique to Lefties in the ’70s anti-nuclear movement. And it spread, because lefties in different movements talk to each other and work together all the time.

.. More unfortunately, when righties do become active, they tend to do something like start a blog. Or make a YouTube channel. Or write a magazine article. In short, they become street-corner evangelists.  They tend not to do things in meatspace.

Lefties do the work in the real world. Guess who wins?

.. The recent Battles of Berkeley have shown that right-wing defense groups can acquit themselves admirably in street-fights, but hard experience has taught Lefties that an all-one-tactic mentality is a good way to give your opponents time to figure out how to counter you. If righties going to build things, they need to look at how the lefties are doing it, because they’ve been working on it for forty years.

Interplanetary Database

A planetary-scale blockchain database for the world.

A public, decentralized database means no one owns or controls the infrastructure and there is no central governing body.

.. Relying on a federated consensus model puts governance and transparency at the heart of the organization.