Jun 25, 2021
Good Stuff. In short:
- TradFi key players (banks and other intermediaries) and the people therein are incentive-incompatible with the overall financial system. They are operate 'irresiponsibly' and externalize their loss in out-of-bound cases. Thus the leak and global chain effect.
- DeFi systems are built bottom-up Raison d'être (reason to live). Thus the incentive compatibilty, localized settlement and most importanly, anti-fragility to the whole DeFi system.
