Decentralized business models

Lately, I’ve been hearing more and more talk about decentralized business models, but I can’t figure out what their real value is for startups. Do they really offer any practical advantages, or is it just a buzzword that everyone is repeating? Can someone explain it in simple terms?

Thank you for your reply! It’s really nice that you’ve laid everything out in such detail. Your opinion has helped me to better understand the topic and figure out what seemed complicated. Thank you for sharing your experience — it’s very valuable!