2020 Encryption Finance New Trend Sharing Session Roundtable Discussion: "The Second Half of Encryption Finance"

Rhythm BlockBeats news, on October 14, at the "2020 Annual Encrypted Finance New Trend Sharing Session and the Establishment Ceremony of Rhythm Research Institute", dForce founder Yang Mindao, LinkVC founder Lin Jiapeng, and Conflux co-founded Ren Yuanjie, OKLink Operations Director Zhang Chao, and CyberX founder Wang Hao had a roundtable discussion on the theme of "the second half of encrypted finance".

dForce founder Yang Mindao believes that the landing of DeFi has made cryptocurrencies out of the circle, and financial institutions actually have a deeper understanding of DeFi than retail investors. In the past, cryptocurrencies and traditional finance were separated, but now they are connected through DeFi and stable coins. The recent hot mining is actually a catalyst for DeFi. Through this wave, a solid foundation will be laid, and more native assets will be introduced in the next step. In general, DeFi has just begun.

Yang Mindao predicts that it will be difficult for regions and countries to reach a consensus on regulation within five years. Supervision is more difficult. The idea of DeFi regulation has changed a lot, and how to regulate it is also a question that needs to be explored.

LinkVC founder Lin Jiapeng Yang Mindao holds a similar view. He believes that DeFi is still in its early days. However, the traditional financial interest rate is low, and the encryption market is high-yield and relatively stable. The interest gap between the traditional financial interest rate and the encrypted financial market is extremely attractive. On regulatory issues, Lin Jiapeng is more optimistic about the domestic financial innovation environment. He said that China is more tolerant of financial innovation, but the development team should still pay attention to avoiding content that is obviously regulated by law. Finally, he said that the core of DeFi lies in the assets and applications on the chain, and he continues to be optimistic about the leading position of Ethereum.

Conflux co-founder Yuan Jie It is said that the development of the DeFi protocol has driven the development of other assets, such as the development of cross-chain BTC, which in turn has brought about the development of new excess assets. Social collaboration is also more important. Protocols like Compound and Curve have promoted the development of DAO, and more users have discussed and participated in the design of economic models. This can be regarded as a real implementation, and more importantly, these new developments may give hints to the traditional corporate system in the future.

From the perspective of various DeFi protocols, the moats of lending and trading protocols are relatively poor. The two types of agreements rely more on a kind of loyalty and trust. The community is actually a relatively important moat. Project codes and project ideas can be forked, but it is difficult for community users to be taken away.

Euke Zhang Chao, head of operation of OKLink, mentioned that DeFi allows the market to see the possibility of combining products and markets. At present, Ethereum is developing very well, and other blockchains and tokens are also trying to build ecology. When it comes to regulatory issues, Zhang Chao believes that the regulation of DeFi actually has the problem of law enforcement costs. For example, what is done in country A is difficult to supervise in country B.

On the issue of the protocol moat, Zhang Chao put forward several key points: excellent incentive mechanism, continuous innovation ability , good user experience and team capabilities (whether auditable, reputation, whether there is community support).

CyberX founder Wang Hao said It is understood that the current encrypted financial market is similar to AlphaGo, or artificial intelligence, which is more about allowing everyone to gain information and attention, and at the same time educate users to learn to use DeFi. Before this year’s craze started, the market’s views on whether DeFi was a trend were not yet unified, but now we will find that the opposition will be less.

On the issue of whether DeFi will be regulated, Wang Hao believes that regulation is essentially a way to protect retail investors Way. But in fact, regulation is divided into many different regions. From the perspective of the US SEC, when the volume of DeFi is large enough, it will definitely attract the attention of the SEC.

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