Introducing: Inflection Point | The Crypto-TradFi Convergence

Bullish:

• $DEFI - DeFi protocols are seeing massive institutional adoption with BlackRock, JPMorgan, and Apollo building on these rails, representing a generational upgrade to financial infrastructure.

  • “BlackRock has tokenized treasuries. JPMorgan is setting intraday repos on blockchains. Apollo announces a giant partnership with Morpho. Franklin Templeton, Fidelity, Kraken, Coinbase, every major name in finance is building on these rails right now.”

    Michael·0:39

  • “As soon as I used AAVE, I knew it was fait accompli that the institutions would eventually come into the space.”

    Matt·0:16

  • “The most important financial regulator in the world says all assets will move on chain in the next five years.”

    Matt·0:00

  • “The purpose of DeFi is not to build casinos. It's not to build, you know, speculative tokens, NFTs, Bean coins. The original thesis behind DeFi was a response to the failures of the Great Recession. Building a financial system whose architecture structurally eliminates the conditions that made 2008 possible.”

    Michael·17:54
• $BTC - Bitcoin showing strong institutional support at $60k level with light positioning and fundamentals way ahead of current price, presenting an asymmetric upside opportunity.

  • “Whenever Bitcoin gets to that 60 ks level, even the amount of trade activity that we see at our desk from these institutional, longer term, fundamentally driven investors actually starts to become a little bit off the charts.”

    David·44:46

  • “The fundamentals are way ahead of where the price is right now. So I think it'll be I think it'll be fine.”

    Matt·59:40

  • “If you want to wait for Bitcoin to behave exactly as this asset that we all imagine it to be at its full maturity, fine, but you're probably going to pay 400 or 500 ks, maybe more per BTC.”

    David·56:57

  • “The long term allocators are still buying and holding. When I go visit them, I was on the road last week in Miami, I met with 40 advisors. They were all allocating, and they will continue to allocate.”

    Matt·42:31
• $AAVE - AAVE's superior user experience and efficiency compared to traditional finance makes institutional adoption inevitable.

  • “As soon as I used AAVE, I knew it was fait accompli that the institutions would eventually come into the space. The UX there is such magic that I've yet to find someone who I've walked through lending into Abe who didn't just assume everything was going to be DeFi.”

    Matt·0:16

  • “I just went on to Aave, like Matt mentioned, I took out a loan. I paid illegal fees with on off ramping wasn't too difficult back then. And then by Monday, had repaid back the loan, and it cost me 36¢.”

    Marc·23:22
• $UNI - BlackRock buying UNI tokens and putting assets on Uniswap signals major institutional validation and adoption.

  • “For me, almost the tipping point, because I was slow to recognize it, was BlackRock moving, buying Uni tokens and putting Biddle on Uni, and and Apollo doing the same on Morpho.”

    Matt·13:03
• $STRUCTUREDFINANCE - Structured finance is perfectly suited for blockchain disruption, with potential to automate costly legal processes and improve transparency.

  • “Structured finance is ripe for disruption. It is almost perfectly, almost like laughably obvious that structured finance should trade on blockchains.”

    Michael·1:01:17

  • “It's this corner, opaque corner of the market. It's hard to structure, and the majority of it is paying lawyers to figure out how to structure these things. And the lawyers, the dirty little secret is they take the legal agreements off the shelf that they've used 50 times before, a 100 times, 500 times, change the names, change some of the numbers, and there we go. But it slows the process down. And we can automate all that with on chain.”

    Michael·1:01:29

Bearish:

• $TRADFI - Traditional finance infrastructure is outdated and will be disrupted by blockchain technology that offers superior efficiency and transparency.

  • “TradFi people, they work very hard, but they don't know what's coming at them when their assets all start to trade 20 fourseven.”

    David·0:31

  • “These systems were were the product of the the technology of their era, and then when new technology comes out, new technology often has to be is met with great skepticism because it could create instability, but oftentimes what it does is it displaces middlemen. Blockchains are the ultimate displacers of middlemen.”

    Michael·24:33