Anndy Lian, Advisory Board Member at Hyundai DAC Spoke at Global DeFi Summit “Do the right thing for DeFi for it to grow.”

Anndy Lian, Advisory Board Member at Hyundai DAC Spoke at Global DeFi Summit “Do the right thing for DeFi for it to grow.”

Anndy Lian, an early adopter of blockchain and cryptocurrency spoke at the Global DeFi Summit on 6 January 2021.

“Decentralized Finance (DeFi) will see a stronger interest from institutional investors this year. The macroeconomic trends of low-interest rate globally will also mean DeFi is more relevant to the companies. Traditional finance world keeps breaking, money and people will be redirected to Defi.” Anndy Lian shared.

What is the fastest-growing DeFi area or trend in 2021?

Defi will continue to grow rapidly in 2021.

A) Staking on Defi will grow faster than in 2020. This is closely linked to Ethereum 2.0. The launch of 2.0 is a critical step towards scaling ETH to a much larger capacity. The shift to POS allows huge amount of wealth to be staked as collateral. I would also think more users will not leave their ETH on exchanges. This then spurred to another observation.

B) I think there will be more Cefi and Defi integration in 2021. We will see integrations in traditional products. Crypto backed derivatives and cross-chain products will hit its peak by Q3 2021. We may also be seeing more crypto proprietary trading in 2021.

What challenges should we expect to arise for DeFi in 2021? Will regulators attempt to restrict or limit it in any way?

The challenges did not change. The reason why Defi grew so fast is due to the flawed financial structure. Governments will step in hard for 2021 but they are still playing a catch-up game. Based on what I know, governments know there are underlying enforcement issues. They are resorting to looking at using on-chain digital id to track and trace and enforce AML but this will again take time.

For example, DeFi lending projects will most likely be regulated in a similar way as financial institutions that offer margin lending. They will also be asked to register as a bank, a non-bank lender or a broker.

In conclusion, Anndy emphasized that we need to work closely together in this ecosystem and do the right thing for DeFi to grow.

Anndy Lian is an early blockchain adopter and experienced serial blockchain entrepreneur who is known for his work in the government sector. He is a best selling book author “Blockchain Revolution 2030” and currently the Advisory Board Member of Hyundai DAC Technology. He plays a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region. Anndy is also part of the Gyeongsangbuk-do Blockchain Special Committee, Government of Republic Korea, together with industry experts such as Brock Pierce.

This event is organised by Gulf Xellence and sponsored by YFDAI. Blockcast.cc is the PR company representing Anndy Lian.

 

About Blockcast.cc:

Blockcast.cc is a broadcasting news source for the blockchain community. Founded in Singapore. We have a network of partners in China, Hong Kong, South Korea, Singapore and Malaysia. We have also helped global blockchain and cryptocurrency companies reach their marketing, public relations and advertising goals.

Media Contacts:

Name: Melody Chan
Email: [email protected]
Website: www.blockcast.cc/about

Anndy Lian is an early blockchain adopter and experienced serial blockchain entrepreneur who is known for his work in the government sector. He is a best selling book author “Blockchain Revolution 2030” and currently the Advisory Board Member of Hyundai DAC Technology. Anndy is part of the Gyeongsangbuk-do Blockchain Special Committee, Government of Republic Korea, together with industry experts such as Brock Pierce. He also played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

You can read more about Anndy’s work at www.anndy.com

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Anndy Lian’s Comments Quoted “DeFI as an open financial ecosystem where you can build various small financial tools and services in a decentralized manner.”- Associated Press

Anndy Lian’s Comments Quoted “DeFI as an open financial ecosystem where you can build various small financial tools and services in a decentralized manner.”- Associated Press

Thanks for taking my comments BitBerry. I got to know about this wallet from UpBit in their early days. Glad to see that they are moving along with the times and working with new partners to expand their business.

Anndy Lian, a DeFI expert and also a Member of Gyeongsangbuk-do Blockchain Special Committee, Government of the Republic of Korea added:

“I am a user of BitBerry and I do see the importance for their wallet to move with the times and embrace DeFI. DeFI as an open financial ecosystem where you can build various small financial tools and services in a decentralized manner. Thanks to their existing framework, BitBerry’s non-custodial nature can let users safely store their own funds without having to rely on third-party institutions to hold their assets. And by partnering with OKEx and listing OKB to their wallet, this has opened up new opportunities for the current users.”

 

 

BitBerry Signs MOU with OKEx, a world-leading cryptocurrency spot and derivatives exchange

 

South Korea, Seoul — BitBerry signs MOU with OKEx, a world-leading cryptocurrency spot and derivatives exchange to work together in the cryptocurrency industry. On the signed document, both parties agree to help each other in the markets that they are active in and also look at listing OKB onto BitBerry’s wallet.

BitBerry, founded in 2016 is a leading cryptocurrency wallet in South Korea with over 100,000 users. They aim to make money transfer simple, easy and secure globally based on blockchain technology.  While, OKEx is a world-leading cryptocurrency spot and derivatives exchange, offering the most diverse marketplace where global crypto traders, miners and institutional investors come to manage crypto assets, enhance investment opportunities and hedge risks.

The community members from BitBerry who heard of the plans to include OKB into their wallets spark new excitement in the forum. OKB is a globally available ERC-20 utility token issued by the OK Blockchain Foundation that gives users of the OKEx trading platform various exclusive benefits. OKEx also has a buy-back and burn program for OKB tokens, whereby 30% of spot trading fee income is allocated to acquiring OKB from the secondary market each quarter. In terms of performance, OKB posted gains of 287.96% in 2019 and according to date from CoinGecko, OKB topped the list of the 30 digital cash in the first quarter of 2020, with a 148% increase. A crypto analytics firm  Messari, the annual return on investment of OKB is as high as 62%, which is far above the industry average.

Jae Bum Yoo, CEO of BitBerry said: “Having OKB listed on our wallet is a gateway for our platform to grow globally. OKB is a top 20 coin according to CoinGecko.com and Blockreview.net, we want our users to be exposed to coins and products ranging from DeFI, payments and security to cryptocurrency trading bots that come together with the OKB ecosystem. This will be win-win-win for all parties. We will work hard to make it happen earlier for our users.”

BitBerry has more than 100,000 users on their platform currently and many of the users are also keen to know more about OKB and experience DeFI services that comes in the ecosystem. For example, once the integration and listing of OKB is completed on BitBerry, OKB now can be used as  collateral in C2C loans  on OKEx. Users can borrow USDT by pledging OKB without incurring any service fees and take advantage of the minimum interest on borrowing, which is as little as 0.01% per day.

Connecting Wallet to DeFI

DeFI or commonly known as decentralized finance refers to financial services, including lending, exchanges, investment, stablecoins, and more, is currently the buzz word in the cryptocurrency space. Financial services are bounded by smart contracts, which are automated enforceable agreements that do not require intermediaries like a bank or lawyer and use online blockchain technology instead.

BitBerry is ready for this space and it is ideal integrating their wallet to OKEx’s full suite of trading products for on DEX such as Uniswap. Anndy Lian, a DeFI expert and also a Member of Gyeongsangbuk-do Blockchain Special Committee, Government of the Republic of Korea added: “I am a user of BitBerry and I do see the importance for their wallet to move with the times and embrace DeFI. DeFI as an open financial ecosystem where you can build various small financial tools and services in a decentralized manner. Thanks to their existing framework, BitBerry’s non-custodial nature can let users safely store their own funds without having to rely on third-party institutions to hold their assets. And by partnering with OKEx and listing OKB to their wallet, this has opened up new opportunities for the current users.”

Planting Seeds for Regional Growth

While BitBerry is a known brand in South Korea, they allow users to transfer money via phone numbers by issuing a unique address based on the unique phone number. The login process is simple and authentication can be triggered using KakaoTalk or fingerprint recognition via Kakao Pay. The strong case study in South Korea gave them more confidence in the regional market.

BitBerry’s sales and marketing spokesperson also highlighted that they are already working with more corporate clients regionally who want to utilize BitBerry’s technology for retail and other commercial purposes. They are continuing its efforts to move beyond its shores into South East Asia such as Singapore, Malaysia, Thailand and Philippines as their next target markets. The regional growth plans will expand more effectively with the help of the MOU with OKEx.

 

About BitBerry ( www.bitberry.app)

Founded in 2016 is a leading cryptocurrency wallet in South Korea with over 100,000 users. BitBerry aims to make money transfer simple, easy and secure globally based on blockchain technology. MonsterCube is the owner of BitBerry and also SODAcoin that is already listed on Bithumb.

 

About OKEx ( www.okex.com)

A world-leading cryptocurrency spot and derivatives exchange, OKEx offers the most diverse marketplace where global crypto traders, miners and institutional investors come to manage crypto assets, enhance investment opportunities and hedge risks.

 

Press Contact

Name: Jenny Zheng

Title: Editor

Email: [email protected]

Web: www.blockcast.cc

 

 

Source: https://apnews.com/press-release/kisspr/technology-business-financial-technology-seoul-south-korea-61100ffaa3e727fc3827735d699af011

Anndy Lian is an early blockchain adopter and experienced serial blockchain entrepreneur who is known for his work in the government sector. He is a best selling book author “Blockchain Revolution 2030” and currently the Advisory Board Member of Hyundai DAC Technology. Anndy is part of the Gyeongsangbuk-do Blockchain Special Committee, Government of Republic Korea, together with industry experts such as Brock Pierce. He also played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

You can read more about Anndy’s work at www.anndy.com

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“Let’s Defy to DeFi”: Anndy Lian, Crypto Thought Leader Shares Insights with Blockreview.net

“Let’s Defy to DeFi”: Anndy Lian, Crypto Thought Leader Shares Insights with Blockreview.net

By now, we have all heard about cryptocurrencies. It is a digital currency that is secured by cryptography. Many cryptocurrencies are decentralized networks based on blockchain technology. A new spin-off from the decentralized economy is called “decentralized finance” or commonly known as DeFi. 

Basically, DeFi leverages decentralised networks to transform old financial products into trustless and transparent protocols. DeFi lending & borrowing platforms allow their users to supply and lock their funds into smart contracts from there other users can borrow and pay interest. Smart contracts make all these possible, allowing automated and open finance to transact with a bank in the middle. 

This “trustless” model has its pros and cons. 

Anndy Lian will share his views on Defi. He is an early adopter & thought leader in cryptocurrency and blockchain and currently the Advisory Board of Hyundai DAC, the blockchain arm of the South Korean carmaker. 

 

1. In your own words, give us an overview of what is DeFi?

DeFi is “Decentralized Finance”. This term has been the talking point at the start of 2020 and it has grown to a market cap of $15 billion according to Coin Gecko. In very simple terms, DeFi is a combination of traditional finance and decentralised technologies. 

It is poised to be the start of a new financial era where it aims to be self-managing and is open to everyone who wants to be on it. It does not require everyday users to place trust in it, unlike the traditional financial system where the trust is placed on the bank to take care of the money deposited and the government to maintain the monetary value. 

 

2. Recently, the supply of wrapped bitcoin has increased significantly. To what extent do you think Bitcoin (and bitcoin holders) in particular are driving the growth of DeFi? Are they a major part of DeFi’s growth?

Big whales are always more careful with their money, they normally hold only BTC, early on if they want to participate in the liquidity mining they have to deposit their BTC to ETH and other Ming tokens to participate which most of them think it’s risky. Yes, I think the use of WBTC pair mining will boom the Defi market in certain extend.

According to the data released today(the 2nd day of Uniswap Liquidity Mining), 50% of the miners used WBTC/ETH pair in the initial mining, and most of them are big whales.

The DeFi market is no longer the same market we see in 2019 or early this year before small investors can make a big profit in the market, now as the APY drops and gas increases, it favours the whales more. And small investors are forced into the secondary market.

The good thing about this is the market/volume grows, the bad thing is the DeFi is not that DeFi any more.

 

3. Conversely, are the opportunities provided by DeFi encouraging people to invest more in bitcoin?

Sure it will.

Firstly, as I mentioned before, now the DeFi market favours the whales more, small investors can not even make their ends meet after paying skyrocketed gas fees. So they are forced out from the DeFi mining game and move to the secondary market. As we all know trading Waited for 7 hours, nothing is done.tokens on the secondary market is very risky so many might just trim back to bitcoin(cause bitcoin price will also rise if more WBTC mining pools opens).

Secondly, as big whales they will keep on selling whatever coins they mined and swap them to bitcoin.

Thirdly, as the market as a whole, more and more bitcoins will be locked up which will bring another bull market for bitcoin.

However, all of these above happens only when WBTC liquidity mining succeed. So far we can see Uniswap locked up 750 million dollars on their second day of liquidity of which half is from WBTC/ETH pool, but we can also hear many complain of the market that the APY is much lower than before(compared to Sushiswap, Moonswap or Sakeswap). It’s only the beginning let’s go forward and see what’s gonna happen.

 

4. What, in your view, would happen to DeFi if the price of bitcoin crashed significantly/collapsed? Would DeFi struggle to grow or survive? And what would happen to Bitcoin if DeFi collapsed?

Most of the “Value” coins will go zero if the price of bitcoin crashed significantly/collapsed. One thing is for sure: no coin(maybe tiny shit coins can) can survive if bitcoin collapse. Even 10 years later the Blockchain industry is gone bitcoin is here to stay.

Well, Bitcoin is still bitcoin whatever DeFi live or die, just like the universe will still be there non matter the earth exploded or not.

 

5. Do you see DeFi and Bitcoin becoming more or less interrelated in the future? In what ways might their relationship change?

Defi could go big or disappear but Bitcoin is here to stay. There are no doubts about this. But I do hope to see new players coming into the challenge bitcoin supremacy. With challenges, there are improvements. This is what’s lacking in today crypto space.

 

Meanwhile, “Let’s Defy to DeFi”– Defy current financial norms to embrace the new DeFi economy. 

 

 

About Anndy Lian

Anndy Lian is an intergovernmental blockchain thought leader, a best selling book author, investor and crypto advocate. He is currently appointed as the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group where he looks after the governance and compliance aspects of the business. 

Anndy is driving the crypto and blockchain agenda with governments and businesses and is a known figure in this segment. He plays a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region and is also part of the Gyeongsangbuk-do Blockchain Special Committee, Government of Republic Korea, helping the province to grow using blockchain technologies.

 

About Blockview.net

Blockreview.net started as a platform for crypto and blockchain enthusiasts who want to monitor and understand the market better. Users can monitor the trends in the market and review the coins and exchanges activities. 

You can find out its rank, price, market cap, history, volume and other things. You have all the information about the cryptocurrencies right at your fingertips. We have since added a news and media section to share impactful news on the industry. 

“Let’s review the blocks together!”

 

 

 

Original Source: https://blockreview.net/news/anndy-lian-crypto-thought-leader-lets-defy-to-defi/

Anndy Lian is an early blockchain adopter and experienced serial blockchain entrepreneur who is known for his work in the government sector. He is a best selling book author “Blockchain Revolution 2030” and currently the Advisory Board Member of Hyundai DAC Technology. Anndy is part of the Gyeongsangbuk-do Blockchain Special Committee, Government of Republic Korea, together with industry experts such as Brock Pierce. He also played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

You can read more about Anndy’s work at www.anndy.com

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Anndy Lian believes DeFi will also result in more and more bitcoins being locked up, “which will bring another bull market for bitcoin.”

Anndy Lian believes DeFi will also result in more and more bitcoins being locked up, “which will bring another bull market for bitcoin.”

Anndy Lian’s comments were featured on CryptoNews on 27 September 2020. He believes that DeFi will also result in more and more bitcoins being locked up, “which will bring another bull market for bitcoin.”

“This inter-related relationship between Bitcoin and Defi works hand in hand with the demand as seen in the market. The breakout trend in Defi for 2020 will continue. New terms will supersede “Yield Farming”  and a more stable environment will be established as you see the bigger exchanges like Binance, Gemini, Huobi and Okex taking the lead.” Anndy Lian added.

Read more about the article on Google News:

https://news.google.com/articles/CAIiEGyo6SpEJbiRN5EMTwYXqjoqMwgEKioIACIQOG0vTzP65T11pGTnFueHJCoUCAoiEDhtL08z-uU9daRk5xbnhyQwg7vbBg?hl=en-SG&gl=SG&ceid=SG%3Aen

 

 

 

‘If DeFi Collapsed, Bitcoin Would Still Be Bitcoin’

 

  • The core driver of DeFi is its use case, not Bitcoin.
  • “BTC is money, DeFi is banks, that’s how people should think about it.”
‘If DeFi Collapsed, Bitcoin Would Still Be Bitcoin’ 101
Source: Adobe/golibtolibov

Bitcoin (BTC) and DeFi both had a good summer. After the coronavirus-induced collapse of March, the price of bitcoin rose from USD 3,500 to just over USD 12,000 in August, while the total value locked into DeFi platforms rose from USD 1bn in June to almost USD 12bn in late September.

It’s tempting to view the performances of bitcoin and DeFi as connected. Given that the supply of wrapped bitcoin has ballooned from wBTC 500 to almost wBTC 90,000 in the past 12 months, it would seem that bitcoin holders have been driving the growth of DeFi.

However, industry figures speaking to Cryptonews.com said that, while BTC has been a significant player in DeFi’s growth, its importance within the DeFi ecosystem will wane over time. And while some may be tempted to regard Bitcoin and DeFi as interdependent, most commenters believe that each can survive without the other.

Bitcoin boosts DeFi

There’s little doubt that bitcoin — and in particular wrapped bitcoin — has spurred at least a portion of DeFi’s impressive growth over the past few months – USD 1.4bn worth of BTC is locked in DeFi today, or almost 13% of total value locked (TVL) in decentralized finance projects.

As data from Defi Pulse indicates, the demand for wBTC began rising exponentially from the end of June onwards.

‘If DeFi Collapsed, Bitcoin Would Still Be Bitcoin’ 102
Source: defipulse.com

And data also indicates, it was around the end of June that TVL into DeFi platforms suddenly began rising more strongly, as ethereum (ETH) locked in DeFi jumped also this past summer.

‘If DeFi Collapsed, Bitcoin Would Still Be Bitcoin’ 103
Source: defipulse.com

Industry figures agree that the two trends are connected, even if they have their own opinions on how long the interconnection may continue.

“Yes, I think the use of wBTC pair mining will boost the Defi market to a certain extent,” said crypto advisor and author Anndy Lian.

“According to the data released today (the second day of Uniswap Liquidity Mining), 50% of the miners used the wBTC/ETH pair in the initial mining, and most of them are big whales.”

Analyst and CryptoMondays Partner Lou Kerner suggested that bitcoin will remain an important part of DeFi in the medium term, not least because it still accounts for over half of the total value of all cryptoassets.

“Given its scale, bitcoin will be an increasingly significant asset in DeFi. But over time, as real world assets are tokenized and enter DeFi, bitcoin relevance will decrease,” he told Cryptonews.com.

However, while BTC has played a role in DeFi’s recent growth, ADVFN CEO Clem Chambers doesn’t see it as the main factor.

“Bitcoin will influence DeFi but it is not the core driver. The core driver is the powerful use case,” he said.

DeFi boosts BTC

Conversely, commenters agree that DeFi is boosting BTC, or that it will in the near future. By offering the chance to earn an additional return on the bitcoin you own, DeFi’s liquidity mining and yield farming is making BTC seem even more attractive to investors, particularly during a period of reduced economic opportunity.

“DeFi has made BTC even more attractive as an investment,” according to Kerner.

That said, Chambers estimated that most of DeFi’s boost to BTC still awaits us in the future.

“It will [boost bitcoin] but not yet. DeFi is still underground with only the core early adopters ‘getting it’,” he said.

Aside from enhancing the returns offered by bitcoin, Anndy Liang pointed out that DeFi will also result in more and more bitcoins being locked up, “which will bring another bull market for bitcoin.”

Mutual aid, not mutual interdependence

While DeFi and bitcoin both help each other in various ways, commentators seem that they don’t believe that each needs the other to survive.

“Bitcoin crashing would certainly slow the growth of DeFi, but one is not dependent on the other,” said Kerner.

Likewise, if DeFi were to somehow collapse, Interlapse CEO and Co-founder Wayne Chen said that BTC would continue as before.

 

“Bitcoin has seen massive growth over the past decade and will certainly continue its momentum,” he told Cryptonews.com. “If DeFi collapsed, Bitcoin would still be Bitcoin and continue its growth and adoption.”

On the other hand, some think that bitcoin crashing would have a severe effect on DeFi, since even if parts of the DeFi ecosystem survived, altcoins would struggle.

“Most of the ‘value’ coins will go to zero if the price of bitcoin crashed significantly or collapsed,” suggested Lian. “One thing is for sure: no coin (maybe tiny s***coins can) can survive if bitcoin collapses.”

The future: parallel, not pivotal

As for the more distant future, some experts believe that DeFi and Bitcoin will increasingly operate in parallel, rather than remain interlinked.

“BTC is money, DeFi is banks, that’s how people should think about it. The linkage is parallel not pivotal,” argued Chambers.

Chen claims that it’s in the interests of DeFi and Bitcoin that each maintains a degree of independence from the other in the future.

“Industry professionals will likely try to interrelate DeFi and Bitcoin. However, this needs to be done cautiously so that it doesn’t turn into a complicated financial product which can ultimately confuse the market,” he said.

Anndy Lian isn’t completely sure that DeFi will be around in several years’ time. However, if it is, he said there’s a chance other cryptoassets could emerge to reduce BTC’s influence on DeFi.

“But personally I do hope to see new players coming into challenge Bitcoin’s supremacy,” he said. “With challenges, there are improvements. This is what’s lacking in today’s crypto space.”

 

 

Original Source: https://cryptonews.com/exclusives/if-defi-collapsed-bitcoin-would-still-be-bitcoin-7827.htm

 

 

Anndy Lian is an early blockchain adopter and experienced serial blockchain entrepreneur who is known for his work in the government sector. He is a best selling book author “Blockchain Revolution 2030” and currently the Advisory Board Member of Hyundai DAC Technology. Anndy is part of the Gyeongsangbuk-do Blockchain Special Committee, Government of Republic Korea, together with industry experts such as Brock Pierce. He also played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

You can read more about Anndy’s work at www.anndy.com

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AMA on DeFi with Roy Li, Founder of Ruffchain & Moderated by Anndy Lian, Book Author of Blockchain Revolution 2030

AMA on DeFi with Roy Li, Founder of Ruffchain & Moderated by Anndy Lian, Book Author of Blockchain Revolution 2030

Blockcast.cc: Welcome to Asia Blockchain Community (ABC). ABC is a community that is based in Asia and run by volunteers. We know the market very well and is backed by a panel of blockchain & crypto experts and influencers. ABC is also a brand manage by Blockcast.cc, a media and PR company based out of Singapore. Without further delay, let us welcome our guests for today. Anndy, please.

 

Anndy: Welcome to our ASK ME ANYTHING (AMA) segment. My name is Anndy Lian, book author, blockchain advocate and currently is the Advisory Board Member of Hyundai DAC. Most people know me by the work I do for the government. Today at Blockcast.cc, we have Roy Li, he is a pioneer in this space. He will be here with me to have a chat about DEFI.

Before we began, please stay on the channel. At the end of this AMA, we will open for questions. We will reward 10 TRX for the questions picked. Each person will only be picked once.

 

Roy: Hello Anndy, Hello everyone.

 

 

Anndy: Hi Roy, nice meeting you online. I believe we have brushed shoulders a number of times in South Korea and China. I have heard so much about you but did not have a chance to speak to you properly. We shall do it today over “Defi”.

Can I request that you give us an introduction of yourself?

 

Roy: Nice meet you too, my name is Roy Li, I am the founder of Ruffchain – a public chain designed for IoT, since the main usage for IoT will be a settlement between things (hopefully in a few years), I studied quite hard in Defi as this is the infrastructure for all public chains

 

 

Anndy: Defi has been the buzz word. Many of the Community members want to know more about it. Tell us in the simplest manner, what is Defi, staking, mining, yield farming and all. Please in the simplest manner. Tell us in the simplest manner, what is Defi, staking, mining, yield farming and all. Please in the simplest manner.

 

Roy:  Defi is short for decentralized finance, it’s like centralized finance, there r yields like in borrowing/lending, exchange, investments. Yield is the basic of definance, the foundation is the time/yield exchange, you either buy time or buy liability within a ratio. If there is an arbitrage in ratio difference borrow/lend or collateral interest & investment income, actions might be taken. staking & mining is the incentive just like bitcoin & ether to reward the workers such as liquidity providers. And the ecosystem, hopefully.

 

 

Anndy: I hope so too. Good insights. This question looks simple but it takes a lot of knowledge to reply in a simplified manner.

Next question. Defi is the future finance, what do you think of this statement?

 

Roy: Defi is definitely future of finance, remember how hard it is to sign all the paperwork and have due diligence to apply for a line of credit?  I remember when I applied for a mortgage the approval and appraisal cost quite some money even to my bank.

Defi is trustless, owned by the governance of consensus, that may wind up as a super-efficient way of financing, 100% transparency guaranteed if possible. I think 90% of the financing will be defi in visible future.

 

 

Anndy: Next question, could be tricky in my opinion. The majority of popular Defi protocols have some form of centralized control that enables specific ‘administrator’ addresses to intervene in powerful ways. Do you think this trend will continue or will it go total decentralised?

 

Roy: the admin access is limited from what I know, they can update fees, strategies or so, but can’t move users’ assets, and governance will limit the access, even more, votes will determine whether u should apply a tariff just like president Trump.

In the early stage, we lack a lot of fundamental rules & tools. Admin key is required in some cases, like I accidentally lost roughly 1 mil USD yesterday on harvest.finance upon an investment strategy to cream, without admin key, cream & harvest won’t be able to help me. Finally, the funds got recovered, awesome job on both teams!

 

 

Anndy: President Trump as an example. I guess Defi governance got to be improved. Glad you got your funds back. Defi coins on Cefi exchange vs decentralised exchanges? What is the gameplay? Are they the same? Does it mean that is it safer on Cefi?

 

Roy: Well, it is not my problem, the code was not audited properly but there are bugs. Cefi exchange is good for order book strategies since the fee is low, while defi is more of AMM gameplay, they will both remain major support roles in crypto market.

 

 

Anndy: That is risky. Trust me. I do not trust the centralised systems that wrapped up us decentralised. Not sure about Cream, but I know Machi is promoting it strongly.

 

Roy: Cefi is definitely not safer.

 

Anndy: Tell us more about it.

 

Roy: There is always a price for innovation, I would like to take that risk.

 

Anndy: We, all are :>

 

Roy: Cefi exchange sites got stolen all the time, almost every year there is a major event.

 

Anndy: I can name many of them in Asia especially. You have to enlighten us on this. Some Defi project is obviously scams, why are they still in the market? Why are people still buying them? Why are exchanges listing them too?

 

Roy: In real-world scams are everywhere, u can’t eliminate them, can’t prevent people from buying them, especially at early stage, when you have no idea whether its a scam or not. I still remember when Vitalik was asking for 31,000 BTC for his ICO, like several million USD back then, many people thought he was crazy. When ETH was $0.79 back then, there were articles warning Eth might have huge risk but how can you tell ETH is not one of the scams?

Sometimes we have to tolerate obvious scams to find out the real gold. Chainlink, DoT, you might have no clue what happened last 3 years, till u realized “oh, I remember that back in 2017”, the market will adjust itself. BTW, if a scam is tooooooo obvious, you should be able to identify.

 

Anndy: Many think that they can run before the scam got caught. People like to gamble LOL.

When there is demand, there is supply I guess. Market forces take over. No one is a saint here in the name of innovation. Cefi needs to catch up the times, else someone else would. Defi promises high interest, in my opinion, it has a very high risk. Do you think Defi is sustainable?

 

Roy: In 2012, I had no clue if bitcoin was sustainable, I was like, what if people stop paying $50 each for that shit coin? Still, we have bitcoins mined every day, who’s buying them? Sustainable can be tricky, I don’t know where the money comes from, but I do know miners are not providing any real value, it’s just more and more people join this consensus game.

Defi however, is like cefi, you can compare to cefi but are cefi exchange sustainable? Apparently not if people stop trading. I wouldn’t say 100% sustainable, but as long as the market holds 100B volume every day ( from CMC, the number might be exaggerated), as long as the market holds enormous volume every day,  Defi can be sustainable.

 

Anndy: This brings to the next question I have in mind now. Do you then think that liquidity will be an issue after waves of scam-like dumps and pumps? Who is paying the bills? Someone got to lose in this Defi game, isn’t it?

 

Roy: As long as the net value is positive, I am an optimist in Defi. People trade every day, the trading fees will eventually cover the bubble in the long run. We do have bubbles right now, but we have bubbles in the stock market, bonds, our currency so bubbles are fine, we are using bubble paper money to pay for possibly fewer bubbles.

 

Anndy: Bubbles back by real assets vs Bubbles backed by air is very different but we will leave this as it is or talk later in a private discussion. What are some of the risks, challenges and opportunities ahead for investors and projects? What should retail investors in this community look out for if they want to also “invest”?  And most importantly, how to make money?

 

Roy: First, always hit for the long run, you know the gas fee is no kidding, if u switch boats rapidly, you will lose money since the APY might drop dramatically in a short time. Second, try to avoid impermanent loss, don’t mine with shitcoin/ ETH pair or similar. I saw APY dropped from 1000%+ to 10% in 1 day if u withdraw, ur gas fee can be 100+ USD. Impermanent loss is the major problem for most users aiming for high APY, I spend most mining on projects like curve, swerve, or so low return, low risk. Relatively low return, still 30%+ APY, in the promotional period, swerve used to be 300%+ almost 0 risks.

Risk is fine, as long as risk can be calculated. I know a few people do like ETH/USDC and do futures at the main time, and some people collateralize ETH for DAI and use DAI to mine stuff.

 

Anndy: What is the definition of the long run? And a short time? You know, in crypto 1 hour is considered a long time to some lol And please share why is there “no risk” for some platform?

 

Roy: Swerve is like curve, its like exchange between stable coins, the revenue comes from ppl who want to switch between stable coins, so if you deposit stable coin pairs, your impermanent loss can be very little, a couple of days yield will cover that easily. That is my first point, try to master risk/return ratio, if you can’t control that, don’t invest.

Another point is to find where the alpha chances are, uniswap is definitely an alpha chance, the idea is how to maximize your benefit in UNI, mining might not be cool since the APY is relatively low comparing to impermanent loss, the total liquidity deposits are huge on all 4 pools. However, UNI/ ETH pair generate 600K fees per day, which means if you add liquidity in that asset, you get 0.25% returns per day.

The downside? UNI price might drop significantly, but that is not going to happen on the first day, if your UNI cost is relatively low, you are good. If UNI price surge by a lot, you get more ETH, it’s like selling your UNI eventually, you gain what you initially want plus daily yield from that pool, better than mining. Especially there is enough dump on day 1 since over 12k users have 400 each, buy them, pair with ETH and add liquidity on day 1, that is the alpha chance.

 

Anndy: Indeed the daily yield + is very attractive. HIGH RISK, HIGH RETURNS. OR NO RETURNS. Seems to the underlying message. Last but not least, share with us an inspiring quote.

 

Roy: I thought about this question many times, it happened like I have strict discipline, I take no action without calculation. My experience might not be that inspiring. I don’t gamble, I do arbitrage. Even if I gamble, I never play against odds.

People worship Elon musk or steve jobs, who think outside of the box, I do think outside of the box, but I prefer boundaries, I know my limit, even if “sky is the limit”,  there is a limit, you can’t gamble without limit. I don’t recommend being risk seeker or hater, I recommend you calculate your risk.

 

Anndy: Calculated risk and knowing one’s limit comes with experiences.

It is always good to have chats with experts like Roy. He is somewhat a neutral party like me to an AMA like this. We are totally neutral; not promoting for any projects right now. Just want to share our knowledge with all of you. This is what Asia Blockchain Community is all about.

Shall we open the floor for 5 questions first? You post your questions here. Roy will choose 5 of them to answer. You have 5 mins to post your questions now.

 

 

Roy: Im ready, shoot me.

 

(Audience starting asking about Ruff Chain)

 

Ruffchain is an IoT public chain, Internet of Things, like maybe one day you spend $100 USDT and get a non-fungible token, this will grant you 1-day access to a car at the airport, without signing the paper, registration, credit card and insurance etc.

 

Since this is more about Defi I will focus on Defi this time, if you like to know more about Ruffchain go to our site at ruffchain.com.

 

Shuja Hashmi: Hi Roy My questions are as follows: What holding Defi back today and can these barriers be overcome? Where do you see the future of Defi in 15-20 years from now?

 

Roy: OK, this is actually a good one. There are a few things holding Defi back now:

  1. Usability, like someone has mentioned it is too hard to understand, too hard to use it properly. There should be some easy tools giving you numbers more than APY, like health/risk factors, withdraw rate or so.
  2. High gas fees, not friendly to all users on Ethereum. However, most assets are on ether, it will be hard for other chains to build an ecosystem, we have to live with the high gas fee for now until we figure out some cross-chain tech.
  3. Lack of innovation, copycats will get dumped for sure, innovation like Synthetix is much better than sushi (copycat).

 

Mahathi: Now Defi is growing all over. What’s your view on Binance bridging the CeFi with Defi ?

 

Roy: Now defi and cefi are doing similar things (money-related), but when NFT (non-fungible token)  gets popular, many things will interact with Defi not cefi, so cefi will be limited to a subset of defi in utilities. Binance will be good on order book trading, but that’s it.

 

 

Venkatz K: Recent DeFi Trends Creates a Massive turn towards crypto  But The growth is not stable some Projects Launching then it peaks in a short time and dumps to none and exits. A lot of Examples we see Sushi Founder Exit. HotDog Exit with 4k$ to 0$. EOS Defi Emeraldmine(EMD)  Exit from Scam. Peoples also wanted to gain profit quickly and massively so they don’t read about the projects and team background. Also loss lot.

Are these facts healthy for DEFI? How to avoid Scam Projects? DeFi will survive with Investors Confidence?

 

Roy: I mentioned before copycats are not growing organically, don’t invest on copycats. However, yearn clone is an exception as aggregators may be different if they use different strategies.   Therefore, you need to find the entity behind a project. Compound, AAVE, cream are banking, Curve, swerve are stable coin exchange(close to real-world foreign exchange as the rate is not volatile),  uniswap,  balancer are volatile exchange.

 

As long as you understand the entity, you will know what you invest for, e.g if you buy sushi you are betting on sushi take significant market share from uniswap & balancer, Sushi might have a chance, but how is that possible when rewards dry up? by risk calculation, sushi has high risk comparing to its price, I might have bought sushi since normally the market runner-up will take 10-20% market share, but not at a high price.

 

 

Alpha Veer: Do audited platforms n protocols guarantee ppls investment ?

 

Roy: Every time a new pool or a new strategy is released, another audit is a must. Don’t just look at seals, you should ask if they have audit up to date, you may contact the audit company.

 

Venkatz K: Ruffchain comes under Alpha chance? how could we find a project comes under alpha chance and safe to go with that?

 

Roy: Ruffchain is listed on Huobi, as a public chain, our alpha chances will be right next to defi->filecoin type -> NFT. Non-fungible tokens are the prerequisite for Ruffchain as well as defi, the alpha chance is more like finding the trend.

Yesterday I lost 2276 ETH while withdrawing ETH using harvest’s fWETH, fWETH burnt but ETH not received, some other users got that bug too. However, I managed to stay cool and found out the panic is spreading, farm price dropped to $90 (not an alpha chance since risk is still high), fWETH can’t convert back to WETH temporarily so ppl try to sell fWETH , which becomes less than 1 WETH, I bought all the fWETH below 1,  and once everything got recovered, I exit with 1.005+ each fWETH. That is the alpha chance.

 

 

Venkatz K:  Super cool, Good One, most of the losses happens due to panic selling.

 

Shuja Hashmi:  Nice And thank You for your time..learning a lot from this session.

 

LALA: What is next after yield farming?

 

Roy: Defi is at very early stage, if you even read the book about Wall street history, you will find out in 200 years human beings stack many tools on finance to create an enormous semi-working system today. And that system needs to get updated every 10 years whenever there is a major financial crisis, Defi is no different.

In March 12th,  Makerdao experienced gas attack by ppl using 0 DAI to buy out ETH with higher gas fees, compound experienced loss in liquidity algorithm back when ETH price declines rapidly. We are fixing the problems, many projects state like yearn (beta project, use at your own risk).

We probably need years to make our defi systems bulletproof, and try to stack more tools, insurance, for example, default swap products (sounds familiar if you know what happened in 2008), syntehtix introduced another idea of DIY- asset, which is good, you can bet on a price change or other related factors.

Many more will come out and spark, I just can’t wait.

 

 

Anndy: Same here man. Thank you, Roy for all the sharing today!

 

Roy: Thank you!

 

Jenny: Good and Interesting Session learning session, love that and thank you, Roy.

 

Roy: My pleasure.

 

 

 

Original Source: https://blockcast.cc/interviews/blockcast-cc-ama-on-defi-with-roy-li-founder-of-ruffchain-moderated-by-anndy-lian-book-author-of-blockchain-revolution-2030/

Anndy Lian is an early blockchain adopter and experienced serial blockchain entrepreneur who is known for his work in the government sector. He is a best selling book author “Blockchain Revolution 2030” and currently the Advisory Board Member of Hyundai DAC Technology. Anndy is part of the Gyeongsangbuk-do Blockchain Special Committee, Government of Republic Korea, together with industry experts such as Brock Pierce. He also played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

You can read more about Anndy’s work at www.anndy.com

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