Fediverse is a part of decentralization, but I think you are talking about P2P network.

You can think of it this way:

• Out of 100% of the power in the Fediverse network, 50% is owned by the instance/relay owner.
• The remaining 50% is distributed among all users using that relay. This gives the owner the authority to remove you from his or her relay.
• In a fully decentralized network(P2P network), 100% is distributed to every user. Everyone is equal; no individual has more privileges than another, and banning is not possible.

(Mastodon serves as a good example of Fediverse: you might get banned from an instance, but you can always create a new account on the same instance or join another one with fewer restrictions.)

(WireMin provides a clear example of Decentralized: in its chat rooms, no one can delete your messages, even if they’re the chat room owner. Moreover, no one can ban you within the WireMin social network.)

There are pros and cons.

Fediverse network:

Pros:

• Efficiency: The Fediverse network is more efficient than a fully decentralized network. It primarily relies on instances that can be hosted on cloud servers, traditional servers, or by powerful third parties hosting a server.

Cons:

• Possibility of banning.
• Privacy concerns: Data is stored on a cloud server.

P2P network:

Pros:

• Privacy security: Data is not stored on a central server.
• No banning or censorship.

Cons:

• Stability depends on user count: The efficiency of a decentralized network depends on having a large user base. The more users there are, the more efficient and stable the network can be.