Some of my thoughts about “DeFi”
DeFi does bring resilience. You might have seen those banks, exchanges out of service for many times. DeFi is a never down system. 7*24.
DeFi does lower the cost of a financial service tremendously. Much less operational staffs. Automation all thru code.
However, CeFi also could improve the resilience and lower the cost, more or less.
There is one thing CeFi could never realize. Fairness
The world need a completely fair financial market which has no discrimination between institutions and retail participants. Because the world belongs to the entire human being instead of only belongs to those financial oligarchs
The world need a completely fiar financial market which always use the same rule for any player. Because the world has been suffered from today’s unfair market for too long, in which a small group of people are both players and judge. When you lose, they told you you are not professional. When you win, they told you “ f*ck off”.
If you have watched the movie “The Big Short”, you would feel it was really a thrilling and exciting story. But when Jared Weinett and his friends want to short the entire US real estate market, he still need to ask centralized institutions to issue the financial instruments and sell to them. Maybe they are not the only one who already have seen the problem, but very few of them has the way and corresponding financial instruments to do so.
This is what I want to build, a fairest financial market, in which everyone are equal to others. Code is the judge. The creation of financial derivatives is no longer the exclusive domain of financial institutions. Everyone could create financial derivatives and financial instruments by his own using the code we build on blockchain. Futures, Options, Bonds, or other complicated financial instruments.
Financial institutions are also no longer able to change the rules or suspend trading in the name of protecting retail investors but to protect their own interest.
Today, the entire world is more connected to each other due to the self media platforms. In a way, propaganda (including producing content and placing it) is no longer the exclusive domain of centralized media organizations like newspapers, magazines, radio and TV stations, as it was 15 years ago, and anyone is free to create content and distribute it. In terms of information dissemination, the world is more equitable.
Now, it’s the high time to make the world more fair in terms of finance, and let’s get more connected and equal.
Putin says: “Give me twenty years and give you back a strong Russia”。 But I want to say, we don’t need that long to give you a fairest financial market and what we need is only you.