Aug 28 – Written By Darren MooreJr
Max J. Heinzle, the founder of 21 Shares, recently participated in the X or Twitter Space titled “Defi Explosion, Shaping the future of Finance.” 21 Shares is a platform that offers comprehensive solutions, including decentralized products.
During his speech, Max discussed the current state of cryptocurrency and how certain restrictions are hindering progress. He highlighted that if FTX had been built on public open ledgers, it would not have been as successful. However, institutional players are increasingly drawn to private permissioned systems like SIX, which is developing the DLT platform for SDX exchange. This private system aims to tokenize equities.
Max emphasized that if regulators allowed these platforms to operate on public ledgers, it would foster innovation and enable real-time fraud detection in the crypto space.
He also expressed his belief that decentralized finance (DeFi) has the potential to reshape the financial industry but highlighted the need for regulatory clarity and guidelines in order to ensure its long-term success. He stated that decentralized exchanges (DEXs), in particular, have the potential to disrupt traditional centralized exchanges by offering greater transparency, lower costs, and increased accessibility.
Max further discussed the importance of building user-friendly interfaces and infrastructure to attract mainstream adoption of cryptocurrencies and DeFi. He emphasized the need for collaboration between traditional financial institutions and blockchain-based platforms, as well as the role of education in bridging the knowledge gap for newcomers to the crypto space.
Overall, Max J. Heinzle advocated for a more open and inclusive approach to cryptocurrency and DeFi, encouraging regulators to embrace innovation and adapt to the changing landscape of finance. He believes that by leveraging the benefits of public open ledgers and promoting collaboration between traditional and decentralized finance, the industry can reach its full potential.
The regulators play a crucial role, and the MICA laws are now providing builders like Max with guidelines to create new opportunities for the public. According to Max, the clearinghouses are profiting by imposing fees on users. However, when this infrastructure is established on an open ledger, the fees will be significantly reduced, opening up opportunities for everyone.
