Bridging real world capital with the new decentralized economy
With the proliferation of mobile devices and IoT, fintech startups have democratized investments for the masses putting financial instruments in the palms of their users. However, most fintech companies provide services that still rely on central authorities and legacy practices, with all the inefficiencies and the barriers of entry that come along.
Blockchain solves these inefficiencies by bringing a permissionless, global, and truly decentralized model into the industry.
Decentralized Finance (DeFi) aims to replicate the financial services of traditional finance without the need or control of a central authority, allowing anyone with a mobile device and an internet connection to have access to these tools, anytime, anywhere.
Many blockchain projects are promising DeFi replacements to traditional financial solutions. However, the results so far are modest given the limited adoption and insufficient infrastructure. Most of these projects remain without a factual user base or use cases. The problem is that these solutions are often too complicated for an average user to understand and use given the familiarity of users with legacy applications and models.
Unlocking the potential of DeFi on blockchain needs mass adoption on a global scale. This means the industry needs to expand both at the infrastructure level and marketcap.
Transitioning into the new truly decentralized economy requires replicating trillions of capital into blockchain and providing the infrastructure to support it. If only 1% of stocks are locked in DeFi, over $950 billion in capitalization could be added to the crypto markets.