Research outlines how DeFi can merge with traditional finance

Summary (IA Generated)

Whilst public adoption of crypto assets is increasing, the global regulations continue to progress and recognise decentralized technologies as a suitable infrastructure for the dematerialisation of securities.

In Luxembourg, the country that is second in the world in terms of assets under management, the country’s regulator adopted a bill that explicitly recognised the possibility of using distributed ledger technology for the dematerialisation of securities.

Due to the increase in public adoption and the favourable regulatory environment, demand from the financial industry to access digital networks is on the rise.

The digitization of this industry is now possible through the blockchain, an infrastructure now widely recognized by the largest governments globally for financial instruments.

Funds and asset managers can now upgrade their distribution channels by launching Digital Asset Marketplace (DAM) and connecting to others via decentralized networks.

In this ebook, industry participants explain how capital market players can benefit from blockchain by launching a DAM and maximizing the monetization of their investor base.

Driven by increased confidence in the technology, and pressured by DeFi replacing many traditional banking functions, institutions will begin to learn that the technology can solve long-standing and deeply entrenched industry problems, particularly in the opaque and highly illiquid private markets.