Centralized Risk Vector

Definition ∞ A centralized risk vector identifies a specific point within a decentralized system where control or reliance on a single entity or small group introduces vulnerability. This concentration of authority or operational dependency contradicts the principles of decentralization, presenting a potential target for attack or failure. Such vectors can exist in governance, infrastructure, or data storage components.
Context ∞ Discussions around centralized risk vectors are crucial in evaluating the true decentralization and security of blockchain projects and digital asset platforms. News often highlights these vectors when security breaches or operational failures occur, underscoring the ongoing challenge of mitigating centralized dependencies in an otherwise distributed environment.