# kaal:claim:3782192-027

**Claim.** Centralization is a natural state that evolves out of decentralization under competition unless it is consciously prevented by guarding members' power, while a centralized organization can always be conquered through its single point of failure at the top.

**Type.** mechanism  **Support.** argued

**Holds when.**

- decentralized organizations exposed to competition

**Source quote.**

> Centralization is a natural state that evolves from decentralization under competition if it is not consciously pre- vented by guarding members' power. It is clear how a centralized organization can be conquered—the single point of failure at the top.

**From.** Craig Calcaterra, Wulf A. Kaal, *Introduction to Decentralization* (2021), Basic idea, page 7

**Cite as.** Craig Calcaterra, Wulf A. Kaal, Introduction to Decentralization (2021). SSRN: https://ssrn.com/abstract=3782192

**Verify.** sha256 of source PDF `e7eafd56cb8a8bd15b64cf58216bb655f939bdcc296387e362fd9191976d67ae` at https://raw.githubusercontent.com/wulfkaal/Academic-Papers/main/papers/pdf/Calcaterra%20and%20Kaal%20-%202021%20-%20Introduction%20to%20Decentralization.pdf

**Topics.** decentralization, economics

**Keywords.** centralization, competition, single-point-of-failure, member-power

**Related claims.**

- generalizes: https://wulfkaal.github.io/claims/3782217-005
- extends: https://wulfkaal.github.io/claims/3782191-026
- generalizes: https://wulfkaal.github.io/claims/3782217-004
- extended_by: https://wulfkaal.github.io/claims/4900878-033
- generalizes: https://wulfkaal.github.io/claims/4855607-020

**Canonical form.** This markdown file is the canonical hashed representation of the claim. Its sha256 is the content hash used for attestation.