On June 13, Mark Cuban, billionaire investor and co-host of the television series Shark Tank, explained his fascination with decentralized finance (DeFi) in an editorial published on his blog. Cuban details that many Defy organizations are distinct because they are not corporate entities or are based in the United States. He believes that “no one owns majority control” of these actions which makes them “permissive” innovations.
Mark Cuban sees huge potential when it comes to permissionless finance
Entrepreneur Mark Cuban has been in the cryptocurrency space for some time now, and a recently published blog post explained that he is focusing on DeFi innovation and Decentralized Exchange (DX) Platform.
Cuba wrote personal opinion His blog states: “The Brilliance of Yield Farming, Liquidity Providing and Valuing Crypto Projects,” which explains the DeFi universe from his point of view. Cuba stressed that yield farming by providing stake and liquidity is a core feature of DeFi and believes that DeFi could be “the next great growth engine” as far as the economy is concerned.
Cuban discussed his interest in some projects like Polygon/Matic and the many Dex platforms he personally leverages. “Examples of exchanges that I use are zapper.fi, quickswap.exhange, bancor.network, [and] uniswap,” Cuba wrote. The investor further elaborated on the benefits of these operations, explaining how finance companies need financial depth to offer specific services.
“You need to be able to mitigate the risk of pricing volatility between currencies. If you want to do this business on a large scale around the world, it can be very expensive and risky,” says Cuban Emphasis is placed in the blog post. Shark Tank Co-Host Added:
Not for DeFi exchanges. So much better running a DeFi exchange than this and any other type of traditional centralized financial business is that instead of the business owners, investors and their creditors having to capitalize on all transactions, liquidity providers (LPs) do it for them.
‘The prize should be higher because it really is a laissez faire market’
Cuba comments that exchange competition is currently “brutal”, and he describes the rewards of this economy as “a laissez faire market”. Investor Compound and . discusses projects like come, and how Aave is a “fully automated, permissionless platform with no bankers, no buildings, no toasters, no safes, no cash, no your money, no form filling No credit rating is involved. Cuba further emphasized:
Everything is controlled by smart contracts. It is fully automatic. You don’t need to get approval from anyone and it takes few minutes to get the loan. It’s called permissionless – this approach is the future of personal banking.
shark tank co-host Reminiscing about the time when he gave a Zoom speech during the pandemic and said that he sees the world changing after what happened in 2020 and 2021. The world’s companies will change, Cuban said at the time, and he envisions DeFi and crypto firms to be a significant part. this global change. Furthermore, if the US does not heed, the country could miss out on the “next great growth engine”.
“between them [transformative] companies, it is already certain that DeFi and other crypto organizations will be at or near the top of the list,” concludes the Cuban blog post.
“Unlike the early days of the internet where we fostered and supported innovation and entrepreneurs, we are already seeing our politicians scoffing at the innovations that are fueling crypto. Hopefully this will change rapidly or We will lose the next great growth engine this country needs.”
What do you think of Mark Cuban’s approach when it comes to crypto and DeFi? Let us know what you think about this topic in the comment section below.
image credit: Shutterstock, Pixabay, WikiCommons
Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell any products, services, or companies, or a recommendation or endorsement of any products, services or companies. bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the Company nor the author is responsible, directly or indirectly, for any damage or loss alleged to be caused by or in connection with the use or reliance on any materials, goods or services mentioned in this article.