The path from institutional finance (Goldman) to enterprise blockchain (PwC) to the $26B edge of DeFi innovation (Aave) with Ajit Tripathi

Hi Fintech Futurists,


Thinking about how to connect these worlds and different
available journeys? Or the timeless risks developing in tranched
DeFi that look like mortgage-backed securities? We even touch on
hegelian dialectics! Check out our great conversation.


For premium subscribers, a full transcript is provided along with
the recording.


Hope you enjoy, and do not hesitate to reach out here!
Excerpt

Lex Sokolin:
And then, when we look at DeFi, and what we see is, globally,
lots and lots of hackers from scratch, building capital markets
machinery, which is like the Linux of capital markets machinery.
You can make any exposure you want and package it however you
want. I feel like people just have to take a much more forgiving
lens here.
 


Ajit Tripathi:
Lex, this is a fascinating topic because I come from the other
side, so everything, capital markets, from pricing and risking,
to some of the most exotic derivatives the world has ever seen in
Tokyo. I come from the other side and for me, it was really
frustrating that everyone in fintech were either doing payments
or doing some kind of mobile app, not really changing much, if
you ask me and I know you'll disagree with this, but it has
always been very frustrating for me that the core capital markets
infrastructure has remained unimpacted, more or less, by this
whole fintech revolution and nobody has tried in the traditional,
and I'm already saying traditional because it has been 10 years,
nobody has even tried to revive the backend infrastructure.
People are building it, yeah people are building apps, people
haven't really tried to see how capital is distributed? How is
wealth created?

How do we allocate capital to applications far more efficiently?
How do we make capital more efficient? How do we take the assets
for the real world, whether gaming or art or whatever and how do
we capture this? Finance doesn't exist in isolation. Capital
markets make value, enable value to be monetized, distributed at
scale and directed to relatively more efficient uses, and I think
Joe Lubin saw this coming along ahead of most of us. Back in
2016, he was saying things like, Ethereum will help capital be
directed to much more efficient uses, analog capital and so on. I
didn't see that coming and for me, what DeFi really does is it
starts to compliment fintech, it starts to build this whole
backend infrastructure, the back office, the financial instrument
creation, the lending, the market makers, the risk taking through
derivative exchanges.


Disclaimer here — this newsletter does not provide investment
advice and represents solely the views and opinions of FINTECH
BLUEPRINT LTD.


Contributors: Lex, Laurence, Matt, Farhad, Mike, Daniella


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