For decentralized finance (DeFi) to produce its mark, it has to reach past the crypto bubble, stated MakerDAO creator Rune Christensen.
“Compared to where we’re going next, we’ve still just scratched the surface of what this technology will do,” Christensen, whose financing system recently topped $1 billion in dedicated assets, stated.
He had been joined by fellow DeFi luminaries Robert Leshner and Hayden Adams on Wednesday at a live-streamed dialog on the condition of the $3.8 billion DeFi marketplace. The session, part of Fintech Zoom’s Ethereum in Five show, was moderated by writer Will Foxley.
It will surely be a difficult row to hoe, but the trend for return farming and other middleman-less creations could nevertheless subvert traditional lenders. So far, DeFi has arguably become Ethereum’s greatest use case.
“We’re moving towards a world of mass tokenization, where everything that has value is going to be tokenized,” stated Adams, the creator of Uniswap, a platform for measuring ERC-20 tokens. “At the moment it looks like Ethereum is at least in the lead in terms of where it’s going to be tokenized.”
Leshner, the creator of this Compound financing protocol, stated DeFi has the capability to alter the opaque, slow and expensive systems of classic finance.
“The best things that work in traditional finance are the things that you know are there, they work, and they’re not that exciting,” Leshner said. “Can you supply $100 million of assets and begin earning interest on them immediately? Or can you borrow $100 million of assets instantaneously and note that the entire system works?”
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