Paradigm shift among global crypto chain reactions
Leaders in the crypto industry etcn Wednesday discussed the landscape change amid the market downturn in the last six months.
Chain reactions have been triggered after the crash of LUNA/Terra in May. In the middle of the so-called crypto winter, the subsequent market meltdown resulted in closures among crypto institutions, such as the insolvency declaration of crypto lenders Three Arrows Capital (3AC) and Celsius Network.
The industry has discussed the consequences in the crypto space a lot in the last 12-18 months.
Speaking at an online forum Wednesday, digital asset industry leaders discussed the ongoing paradigm shifts in the ecosystem regarding blockchain, digital assets, cryptocurrency and Web 3.0.
“I think the paradigm shift takeaway is that, as amazing as the blockchain technology is, as it’s somewhat revolutionary as cryptocurrencies, I think the industry itself has a long way to go in terms of being a stable and globally scalable platform,” Jehan said Chu, founder and managing partner of Kenetic, adding “there are many lessons to learn, and continue to learn those lessons.”
Chu said the institutionalization, maturation and development would be to integrate and undergo a hybrid combination of Web 2 and Web 3 in terms of the business and technology sides.
In addition, the ecosystem will transform into a completely decentralized, completely open, decentralized-media situation. Still, he added that this possible scenario would take time rather than materialize in the short term.
Meanwhile, Alfian Sharifuddin, CEO of DBS(Hong Kong) Ltd., suggested that a centralized crypto trading platform agreement would also be sustainable from the perspective of the banking sector, as it is more “secure” than other institutions.
Sharifuddin said DBS received approval to roll out a crypto trading platform from the Singapore regulator, allowing them to occupy an advantageous position by increasing investors’ confidence in trading in a trusted institution.
The head of technology and operations (Hong Kong and China) of DBS further elaborated that the underlying technology of blockchain will be useful in pursuing the industry’s development in the banking sector in the long term.
As the concept of decentralized finance (Challenge) can remove the restriction for an intermediary or clearing house to make the finality of the settlement, which is an extensive process.
The cutting-edge technology will also release the time constraint allowing 24/7 transactions and improve global transaction efficiency within seconds and universality.
During the webinar, the participants also discussed how to deal with negative sentiment in the market, the balance between regulation and innovation, but also what kind of role a decentralized autonomous organization (DAO) should play.
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