Quick Breakdown
- StarkWare CEO Eli Ben-Sasson says corporate-controlled blockchains undermine decentralization.
- Predicts “corpo chains” will lose user trust and fade within a few years.
- Argues blockchain’s real value lies in eliminating central authority, despite its complexity.
Corporate-controlled blockchains may not survive long-term because they contradict the core principle of decentralization, according to StarkWare co-founder and CEO Eli Ben-Sasson. The blockchain executive argued that centralized, company-owned networks will eventually lose user trust and relevance as the industry gravitates toward permissionless systems.
I’ll repeat my opinion on corpo chains: They won’t last.
The important element of blockchain is a system that gets rid of a central entity.
It comes at a cost: A very complex technology that’s hard to build and hard to use. Even if we apply AA to create simplified UX, the tech…— Eli Ben-Sasson | Starknet.io (@EliBenSasson) October 20, 2025
Central Control Defeats Blockchain’s Core Purpose
In a post on X (formerly Twitter) on Monday, Ben-Sasson reaffirmed his stance that “corpo chains” private blockchains operated by corporations are fundamentally flawed. He said blockchain’s true innovation lies in removing central authority, even though doing so makes the technology complex and difficult to use.
“The important element of blockchain is a system that gets rid of a central entity,” Ben-Sasson wrote. “It comes at a cost: very complex technology that’s hard to build and hard to use.”
He added that even with advancements like account abstraction (AA), which simplifies user experience by eliminating traditional private key management, the complexity of decentralized systems remains unavoidable and that’s precisely what makes them resilient.
Users will reject corporate chains over time
While Ben-Sasson acknowledged that corporate adoption could temporarily accelerate mainstream acceptance of blockchain, he predicted that many enterprise-built networks will collapse within a few years. Once companies face mounting technical challenges and realize their chains offer little value to users seeking autonomy and self-custody, they will likely abandon them, he said.
“Fast forward a few years: corporate chains will end up with the complex tech but without the added value for users — no central entity to control them,” he wrote.
Ben-Sasson’s comments echo growing skepticism in the crypto community that corporate-driven blockchain initiatives often serve branding rather than innovation. As one X user noted, most companies “don’t need a blockchain” but pursue it to avoid being perceived as lagging in digital transformation.
In a related move, Jiuzi Holdings, Inc. announced the completion of a private placement worth 100 Bitcoin, signaling a strategic pivot toward blockchain infrastructure and digital asset innovation — a move that contrasts sharply with the fading appeal of centralized corporate blockchains.
If you would like to read more articles like this, visit DeFi Planet and follow us on Twitter, LinkedIn, Facebook, Instagram, and CoinMarketCap Community.
Take control of your crypto portfolio with MARKETS PRO, DeFi Planet’s suite of analytics tools.”
