Centralization also reduces redundancy which is essential to system reliability - a centralized system always ends up less reliable because there's more chance

Centralization also reduces redundancy which is essential to system reliability - a centralized system always ends up less reliable because there's more chance of single-point failure that cascades to all parts of the system quickly. This is especially true if "scale-free" features like "preferential attachment" exist. https://en.wikipedia.org/wiki/Preferential_attachment https://en.wikipedia.org/wiki/Preferential_attachment Consolidation of any type of thing (e.g. Wall Street and financial systems) can become very fragile and many of the guards against failure (risk models) cease to be valid the moment you have preferential attachment.