
On Centralised AI & the "Dead Internet Theory":
A really interesting PoV was recently raised by @MTorygreen on the Dead Internet Theory: where AI-driven social media brings about a “Monoculture AI.”
The problem?
As LLM-run accounts proliferate, they all start to “larp” with the same motivations, the same trained datasets which essentially sounding identical.
What looks like diversity is, in reality, synthetic homogeneity.
And most don’t realise this is actually a key systemic issue, where it will only continue to exacerbate with the looming data bottleneck.
Projections already suggest a world where synthetic data >>> authentic human data.
According to @EpochAIResearch, the world’s public human-generated text (~300T tokens) could be fully consumed by models between 2026–2032 (or sooner, if overtrained).
And with information is the most valuable resource of this century, whoever controls the data + compute + model stack commands the future.
The implications behind control here can thus be catastrophic if the stack remains monopolised by existing centralised giants.
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Why Centralisation Leads to a Trust Crisis:
As of now, the AI landscape is primarily dominated by a handful of Big Tech giants, standing ~61%.
But ofc this comes with no surprise due to the exorbitantly high barriers of entry:
1⃣AI infra has huge capex requirements
2⃣Only Big Tech giants can fund/train at scale
3⃣Everyone else is forced to operate within their platforms’ constraints
It’s a clear fact that the scale of distribution they offer on the global level is unmatched. Together with an comprehensive service-bundling of end-to-end workflows + support, a moat is established.
Hwoever, these centralised AI frameworks therefore inevitably lead to:
🔹 Opaque systems → lack of transparency in how models train, adapt, and deploy
🔹 Privacy erosion → user and enterprise data locked into hyperscaler walled gardens
🔹 Trust crisis → as adoption scales, confidence in centralised black-box AI weakens
These dynamics may have enabled hyperscalers to dominate the early AI wave, but they also sow the seeds of fragility.
The more adoption scales under closed, opaque systems, the greater the erosion of trust → setting up an inevitable inflection point where users + enterprises sooner or later will begin to demand alternatives.
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DeAI as a Counterforce:
The strongest case for decentralisation is that DeAI introduces novel, open, and distributed architectures that offset the structural risks of centralisation.
But there’s also a less obvious (yet equally important) value proposition: Diversity.
With more open, distributed contributions and development, entirely new 0→1 innovations & models can emerge, creating robust alternatives to today’s dominant, one-size-fits-all services.
This is why the counter-narrative isn’t about replacing Big Tech AI outright, but about injecting diversity into the stack.
As Tory puts it: “The answer to AI homogenisation is diversity, not elimination.”
DeAI introduces novel, open & distributed architectures that offset centralisation’s risks.
Notable examples include:
🔸@Fetch_ai $FET → governance + coordination for agent systems w/ latest release of ASI-1 Mini
🔸@bittensor $TAO → open marketplace for compute, storage, inference, and digital commodities
🔸@ReiNetwork0x $REI → domain-specific innovation with a highly orchestrated system designed for advanced cognition (Reasoning Cluster) + persistent memory (Bowtie Memory Architecture)
🔸 @gen_impressions $GEN: Next-gen agentic infra enabling shift from stateless assistants → sovereign, self-evolving actors (powering 10k+ agents across 330k Telegram groups, with DeFAI & attention agents in currently in dev)
This is what crypto makes possible: permissionless contribution, aligned incentives & niche innovation.
Of course, DeAI isn’t free of limitations too. It’s slower than centralised infra in raw throughput, introduces more workflow complexity & struggles to match frontier-scale models.
For now, choosing DeAI may feel "ideological rather than pragmatic".
But here’s the overlooked truth: DeAI doesn’t need to beat hyperscalers on scale. It only needs to open new avenues of innovation and provide credible alternatives.
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Final Thoughts:
All-in-all, crypto’s role imo here is twofold:
1⃣Enabler → making open, distributed architectures viable
2⃣Disruptor → challenging the homogenisation of centralised AI
And while DeAI comes with trade-offs, the benefits it enables (diversity, transparency, inclusivity, provenance) far outweigh the costs.
As AI adoption surges globally and embeds itself into every industry, the Dead Internet Theory doesn’t have to be destiny. With crypto-enabled DeAI, the future can be one where AI is not just powerful, but also pluralistic, open, and resilient.
That’s the future worth building: an ecosystem of choice, not control.
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