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Charity can benefit the most from Blockchain

DeFi and the oncoming two class system

Decentralized Finance, a true marvel of our time. It's so simple yet so complex, and it is going to help lift a billion out of people from extreme poverty over the next decade. Yet, it's low barrier for entry makes it an underbelly of regulated Finance.

While right now you are hearing all about regulations. The fact is, regulators can only enforce so much. 🤷 Let's take a look inside the crazy world of smart contracts to understand a little better.

What is a smart contract (In simple terms)?

👉 A smart contract is a simple computer program, that executes a transaction when the predetermined conditions are met.
Eg. The sale of the NFT will happen when a user
1. Agrees to purchase and
2. Has the funds in their wallet. As long as these conditions are met, the sale happens without intervention.

👉 Anyone can make a smart contract. Some can even be a simple click of the button, while others have been uniquely programmed by experienced developers. But ultimately, anyone can deploy a smart contract to a public blockchain.

The fact is, you can't tell the difference.

So if anyone with an internet connection can create a financial asset, do you think that these regulators can stop over a million people a year from creating these products?....

Nope 🙅🏻 ..they can't! But what they can do is create heavily regulated gateways and bottlenecks into the tightly controlled fintech industry. This will be where legitimate Companies operate with crypto licence. This area will be refined year after year while the 2nd class of DeFi is left to those willing to enter at their own risk. This will be overlooked by enforcement agencies, underestimating the power of human opportunity.

The gateways I speak of are commonly know as "exchanges". Exchanges are the on and off ramp for money in the crypto industry. Makes sense to start with them and work your way towards Decentralized exchanges and outward to platforms and wallets on the app stores etc. Within 3 years, we will see this become a reality.

With the reality, comes good and bad. The good is, legitimate start ups will start building public trust. The downside, loads of government input and fees...ALOT of fees!

I also expect anonymity to come under attack and KYC become the center stage. The unfortunate thing about all those scams that YouTube just happened to NEVER remove, did their job. They scared the public and gave the government all the more power to regulate while now allowing the CBDC to walk in on the red firtunate.


Thanks for reading 📚

Chris ❤





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