# kaal:claim:3808852-008

**Claim.** Network effects proliferate in peer-to-peer networks because, unlike client-server architecture with linearly increasing per-unit costs, peer-to-peer network costs decrease with each added node.

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

**Source quote.**

> Network effects proliferate in peer-to-peer networks because, unlike the traditional client-server architecture which is subject to the linearly increasing per-unit costs, the peer-to-peer network costs decrease with each added node.

**From.** Wulf A. Kaal, *Decentralization and Feedback Effects* (2021), Technological Decentralization, page 8

**Cite as.** Wulf A. Kaal, Decentralization and Feedback Effects (2021). SSRN: https://ssrn.com/abstract=3808852

**Verify.** sha256 of source PDF `31e91158fdeefebc2f0be54ebf89751f7cdd4c89ecea932888f5ba9be6b1caba` at https://raw.githubusercontent.com/wulfkaal/Academic-Papers/main/papers/pdf/Kaal%20-%202021%20-%20Decentralization%20and%20Feedback%20Effects.pdf

**Topics.** institutional-design

**Keywords.** network-effects, peer-to-peer, cost-structure, scaling

**Related claims.**

- restates: https://wulfkaal.github.io/claims/3782198-023
- extended_by: https://wulfkaal.github.io/claims/3808859-010
- extended_by: https://wulfkaal.github.io/claims/3808859-009

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