MMO vs Decentralization

Ah, good old days of private UO servers with tweaked game mechanics, added items, added skills, added graphics...
More and more games tend to pop-up with a decentralized model where you can open your very own private server and customize it with mods, based on the "Minecraft" model. (CubeWorld, DayZ, Star citizen...)

Is the MMO/centralized server model dead?
What's the advantage and drawbacks of both?

Decentralized:
+Reduced costs for game editor
+No monthly fee
+Ability to mod/customize the game

-Servers can close anytime
-Less people on server
-Can't freely hop from server 1 with mod A to server 2 with mod B
-Can't monitor servers admins (What if 10 overstuffed people hop into your server, destroy everything and lead to the next one like crickets?)
-If you monitor servers, tendency to have less "official/compatible" servers because people feel like they're volunteering/paying without any benefit. People want to play god.

Centralized:
+Server stability
+More people on server
+Fair to everyone

-No mods
-If servers close, it's done (unless someone shows up with an emulator)
-Costs for the game editor
-Possible fee for the players (got to cover the costs of employees + infrastructure)

In the end, the difference lies in persistence.
Do you play multiple "games" of that game? (That's how I used to play DayZ)
Then go for decentralized.

Do you want long term cooperation and teamplay achievements?
Then go for centralized.