The emergence of decentralized finance, known as Challengeoffers a glimpse of a new world.
Complex financial services and products traditionally provided by large institutions can be transformed into automated, self-executing instruments without the need for banks, brokerages or agents. It is a peer-to-peer transactional system, with instant service, accessible by anyone, anywhere, anytime.
DeFi is all about creation. In a DeFi company such as Cook Finance Inc., users can create, run, and invest in a variety of DeFi protocols through permissioned and permissionless environments. Instead of third-party institutions, the user community drives the wallet in a Web3 world.
“Our communities consistently come up with great DeFi strategies and protocols together to run a wallet that allows them to achieve certain goals,” said Michael So (pictured, center), partner and head of business development at Cook Finance. “If you were to define Web2 as read and write, and Web3 as read, write, and create, that’s where the difference lies. Let the wisdom of the crowd decide which should prevail from a product perspective.
So spoke with furry jeanshost of theCUBE, SiliconANGLE Media’s live streaming studio, during the Introducing Unstoppable Domain Partners Event. He was joined by Jaime Rogozinski (pictured, right), founder of WallStreetBets and strategic advisor to WSBD App, and Mike Morhulets (pictured, left), CEO of DeHive, and they discussed DeFi eliminating the need for third-party vendors and how the companies are looking to simplify the use of tools and protocols for crypto users . (*Disclosure below.)
Smart contracts without intermediaries
Much of the DeFi world runs on smart contractsprograms stored on the blockchain that run when certain predetermined conditions are met.
In the case of DeHivea decentralized protocol created to issue and invest in baskets of leading DeFi crypto products, assets are stored in a transparent smart contract. The idea is that the user creates and manages a DeHive index with a healthy mix of high-performing tokens that can generate more stable profits.
“It’s about smart contracts,” Morhulets said. “There are no intermediaries here.”
The growing appeal of DeFi is reflected in the sheer volume of money flowing into space. The amount invested in various crypto assets has bounced between $195 billion and $260 billion in recent weeks, according to the DeFi Llama tracking protocol.
Nevertheless, DeFi is still complex. There are many layers involved in activating wallets, locking and unlocking funds, paying fees, and tracking all stablecoins, derivatives, and decentralized autonomous organizations. Unstoppable Domains’ Solution around minting non-fungible tokens to create a digital identity is designed to help remove some of the complexity surrounding the DeFi world.
“It’s about rethinking and looking at all the advantages and benefits that DeFi has to offer,” Rogozinski said. “The spirit of DeFi removes bottlenecks. This way of identifying you has incalculable advantages. Unstoppable is in a very good position.
Watch the full video interview below and be sure to check out more of SiliconANGLE and theCUBE’s coverage on the Introducing Unstoppable Domain Partners Event. (*Disclosure: TheCUBE is a paid media partner for the Unstoppable Domains Partner Showcase event. Neither Unstoppable Domains Inc., the coverage sponsor of theCUBE event, nor other sponsors have editorial control over the content of theCUBE or SiliconANGLE.)