Comment by Zanfa

Comment by Zanfa 14 hours ago

2 replies

> It prevents centralized entities being the gatekeepers to the modern financial world.

In theory, but it doesn’t in practice. Most crypto transfers never make it to the blockchain, they happen entirely in SQL databases of exchanges.

Also, Tether has complete control over USDT and can block or reverse any payment or freeze any account it wants. No bank or payment processor in the world has such centralized control over the traditional financial system.

If anything, crypto is more centralized by comparison. Both in terms of payment processors as well as wealth distribution.

charcircuit 14 hours ago

>In theory, but it doesn’t in practice.

In practice neither exchanges or Tether have made any attempts at refusing to allow payments to legal businesses as far as I'm aware. So in practice it does.

  • Zanfa 12 hours ago

    Whether they abuse their power is completely orthogonal to centralization. It’s also false. Just look at the amount of customer complaints in the Coinbase subreddit where they’ve blocked legitimate customer access.