DeFi: An alternative to traditional finance?
Decentralized Finance (DeFi) describes business models that can be mapped by a code programmed on the blockchain and allows financial transactions to be executed without intermediaries. DeFi has the potential to redefine the role of financial institutions. In the new HCOB study, co-developed with the Berlin FinTech company Bitbond, we highlight special features of DeFi protocols and evaluate, based on the DeFi platform Compound, if DeFi presents a serious alternative to the traditional financial sector.
- The key to mass suitability Most DeFi business models are still far from being suitable for mass adoption. The key to a wider distribution lies in user-friendliness and a reliable regulation of the sector.
- Building the infrastructure DeFi protocols and other blockchain business models are currently being used to build an infrastructure for financing real tokenized assets in the future.
- Competitive advantage There are numerous areas where financial institutions can use DeFi protocols to complement their traditional business model. Institutions that are early movers in this area can gain a first-mover advantage over traditional competitors.
Download the study and get first-mover insightsYour contact details
About the study
Authors: Bitbond, Dr. Cyrus de la Rubia
Publication date: December 2023
Number of pages: 20 pages
Document type: PDF (1.5 MB)
Thank you for your interest
The study “DeFi: An Alternative to traditional finance?” (PDF, 1.5 MB) is now available for download.
Please click on the button below to download the study.
Oops, a technical error:
This content cannot be loaded at the moment. Please reload the page or try again later.
If the problem persists, please contact us by e-mail at email@example.com.
Contact the author
Dr. Cyrus de la Rubia