By now, everyone is talking about it: CeFi and DeFi are terms that are used on a daily basis, and are increasingly understood. The main problem now is figuring out which is the more secure system, and which of the two allows for the greatest payback. According to what Paul Brody told Coindesk last week, 2021 could be the decisive year that will make DeFi an affordable tool for everyone thanks to the participation of big companies.
Who's Paul Brody?
Before examining the prediction of Paul Brody, it is only fair to understand who this person is and to understand what his role is within the cryptocurrency industry.
Paul Brody is the one who leads the initiatives and investments of Ernst & Young, more commonly referred to as EY, in blockchain technology across the consulting, audit, and tax lines of business. During his career, he has held leadership positions in the areas of Internet of Things, supply chain, and corporate strategy operations.
In addition, he led EY's first blockchain strategy assignment examining how digital services, payments and the Internet of Things are creating new ecosystems, building a winning strategy for EY's major clients. In addition, his 20 years of experience as a strategy consultant has made him very famous for his predictions regarding the crypto sector.
What EY's Team Does?
EY's blockchain team is constantly communicating with banks and other key players at large enterprises. According to what Brody said, the biggest companies want to grab a slice of the hottest digital platforms, especially after seeing data like that published about Square, which sees its Cash App (a cashback app) growing 700% in just one year.
What Paul Brody and his team are highly acclaimed for is also their prowess in protecting privacy, which is protected using techniques such as zero-knowledge proof, which could bring the public blockchain inside large corporate firewalls. In addition, Brody collaborated with ConsenSys engineer John Wolpert to create the Baseline protocol, which is an Ethereum-based reconciliation system designed specifically for enterprises.
CoinDesk's Interview
In an interview with CoinDesk, Brody said that if he had to make a prediction like this, his feet, he would say that by the end of 2021 there will be at least one major financial institution that, standing out from the rest, will offer consumers a more affordable form of DeFi, grabbing the vast majority of the world's users.
Of course, the prediction is very bold. It's true that banks and large institutions are getting closer and closer to the digital and blockchain world, but it's also true that the DeFi industry, despite the fact that the total value of blockchain coins has reached over $25 billion, is not exactly for beginners.
What Might Be The Featured Companies?
Brody was also asked which companies he believes are likely to launch consumer-focused services before the others. To that question, the strategist said he believes companies will undoubtedly emerge via cutting-edge services in the form of apps, which will contain everything consumers need in a single solution.
"It's going to be one of the newest application services intent on incorporating everything within a single transactional window, where you can buy crypto, have bank deposits, buy stocks, etc.," Brody said.
Of course, these services, the chief added, will not be immediately accessible to everyone, as they will be a specific set of offerings that companies will need to be able to explain in detail in order to offer them to the general public.
Why DeFi Should Grow?
Paul Brody also explained why he believes DeFi will grow exponentially reaching even the average user, saying that in his opinion there are two key elements that will help in this mass conversion: smart-contracts and stablecoin regulation.
On the one hand, smart-contracts are getting better and better, as numerous testing and review features are implemented that further increase their level of security. On the other, regulated stablecoins will also make the industry more attractive to institutional investors, who will bring in large sums of money.
Moreover, another key element that Brody wanted to highlight is the possible introduction of real-world physical assets within the on-chain space, which would go on to represent a real revolution for DeFi.
Conclusions
We all try to make predictions trying to figure out which sectors might be the ones that, in a few years, could bring huge economic returns to our portfolio.
Without a shadow of a doubt, CFI and DeFi are two very hot areas that are seeing continued exponential growth.
Like any prediction, however, you can never determine with certainty which one is the right one, but there are nonetheless many odds that see blockchain and everything related to it as a key tool for the near future.
As usual, the advice is to always keep up to date by delving into the topics that most interest us.
*This article was translated manually and with a translator software from my original post on theledger.it, so I'll attach the link to my article here.
If you want to improve your Italian and learn more about crypto arguments, just check out our blog by clicking on one of the links below :)
Learn more
- https://theledger.it/news/regolamentazioni/fincen-nuova-regolamentazione-exchange-fuga-verso-la-defi/
- https://theledger.it/approfondimenti/openethereum-il-rilascio-della-v-3-1-1/
- https://theledger.it/recensioni/compound-il-progetto-defi-dei-servizi-bancari/
Bibliography
- https://www.ey.com/en_gl/people/paul-brody#:~:text=Leader%20of%20blockchain%20technology.,strategy%20and%20internet%20of%20things.&text=Paul%20drives%20EY%20initiatives%20and,audit%20and%20tax%20business%20lines.&text=He%20has%2020%20years%20of,experience%20in%20mobile%20and%20electronics.
- https://www.coindesk.com/ey-blockchain-paul-brody-consumer-defi-prediction
- https://www.nasdaq.com/articles/eys-paul-brody-expects-consumer-defi-ignition-in-2021-2021-01-27
- https://www.coindesk.com/squares-cash-app-now-lets-customers-get-bitcoin-back-on-purchases
How do I make my balance grow passively and with some little clicks? :) Check this list
Do you like writing and reading?
Try publish0x and read.cash. You can become a publisher like me and share your knowledge with others. Otherwise, you can read and tip your favorite publishers :)
Best exchange ever: download Binance here and we'll both earn 10% from every commission we make :) It's a win-win! Otherwise, you can use my code HEK33DXK at the registration.
Browser: Cryptotab
Best faucet ever: Cointiply
Other Faucets: Cloudfaucet; Multimining; BitcoinSpin; Pipeflare; Globalhive; Freebitcoin; Earnbitcoin; Cloudfaucet; GoldenFarm
Coinbase quiz: Earn EOS, Earn XLM
Cloudmining: Hashshiny cloudmining
The best crypto-based casino online: Betfury (check my article about Betfury here)
AI Marketing, the future of advertising: earn a completely passive income by subscribing to AI Marketing. Downloading it from my ref link will give you a free 50$ gift to start your campaign :). Learn more about it here!
