On August 21st, the “POW’ER 2019 Global Developers Conference” hosted by Mars Finance was held in Beijing. The conference invited 70 technology leaders, experts and scholars, investment and research institutions from around the world in blockchain, 5G, AI, cloud computing, big data, and Internet of Things to share their judgments on new technology trends and business opportunities and outlook.
Rui Guo, co-founder & CEO of Ultrain, was invited to attend this event. "When we talk about open finance, what are we talking about?" In the big fire debate, with the host of Mars Finance, co-founder Silin Shang, guest BHEX founder Ju Jianhua, BiKi founder and CEO Li Xiandong, JEX founder and CEO Chen Xin, QuarkChain chief business officer Du Ting, DREP Foundation co-founder Xu Xiaolong conducted an in-depth discussion. The following is the specific content of this debate, welcome to read:
In analyzing what exactly is distributed finance and where is the biggest opportunity, Guo Rui said that DeFi's future has great development prospects because it is a completely decentralized business society based on blockchain technology. In this business society, financial services are very important layer in the middle and need to support the upper business. From this perspective, DeFi will definitely have a huge development in the future, and DeFi has huge space and imagination.
But at this stage, there is no real DeFi project. Financially, finance is a third-party service that provides value to traditional businesses. If we can truly decentralize finance, we should first form real commercial value and form a commercial deposit on the blockchain. On this basis, we can have real decentralized financial services. He believes that in the second half of this year, after more commercial applications are hatched on the public chain, there will be more commercial value precipitation and truly valuable decentralized financial services.
After listening to Guo Rui's words, the host, Shang Silin, said that he really understood that Ultrain is actually doing business cooperation with many companies, and is very looking forward to the progress.
Ju Jianhua believes that distributed finance allows rights to be returned to users, and everyone can participate in transactions, obtain fundraising, borrow loans, etc., and realize inclusive financial benefits. The real opportunity for distributed finance lies in completely decentralized cross-chain transactions and DEX, because running a decentralized business in accordance with the current centralized business model implies a lot of crises.
Then, the host invited everyone present to give a suggestion and direction to the national digital currency, and talk about what would be the biggest problem if there was no substantial progress in open finance after one year.
Guo Rui believes that how to create value for users and help companies make money, on this basis to play the service function can further realize value-added, this is the core. If you expect the admission of big funds to make changes in the entire industry, it is that they will kidnap this industry, and big money is always the power of capital.
Ju Jianhua also said that another possible reason for limiting the development of DeFi business in the true sense is the entry of truly super-large institutions, which may turn DeFi finance into digital finance. Once the real economy business is put on the DeFi system, it will become a centralized business, which may cause certain damage to the pure encryption economy that may appear in the future. The application and credible risks brought about by traditional business entry, and the distraction of users' attention may all affect decentralized financial development.
Xu Xiaolong said that for entrepreneurs, it is necessary to sink down and do the right thing. Everyone knows that blockchain finance is useful, blockchain technology is useful, and digital currency is useful, but it takes a long time to iterate from useful to easy to use. What users really need is a good product. So what entrepreneurs need to do is to think through the Internet, look at things in the long run, and make their products easy to use.
Chen Xin believes that decentralized applications have not achieved significant development so far, and the first reason that hinders decentralized financial development may be technical reasons. For a long time in the past, the efficiency, cost, and speed of blockchains have prevented blockchains from carrying slightly more complex services. However, from the development of these two years, after some high-performance public chains and related technologies have been proposed, this problem has basically been solved. The second is the compliance factor. The third is the ecological issue. In the coming year, the most important thing for entrepreneurs is to find ways to find areas that can really take advantage of blockchain technology. The emergence of a killer application will drive the blowout of the entire industry. For the blockchain industry, perhaps the most important thing is to find such products and applications.
Finally, the moderator asked everyone to talk about any suggestions for the national digital currency. Guo Rui’s suggestion is to find the pain points of users. Now the scene of RMB digital currency is even narrower than RMB cash. In this case, there is no competition between the RMB and the RMB, let alone competing with digital currencies like Libra.
Li Xiandong: Financial institutions should bring Internet giants in. Scenes and users are the core, and technology is not.
Du Ting: The blockchain financial system is likely not to be rebuilt, but to start a new one. It is recommended that “Chinese libra” be a sandbox in Shenzhen or Hainan as soon as possible to allow entrepreneurs to participate.
Xu Xiaolong: I also suggest to open a more relaxed environment as soon as possible. Shahe is also good, and the pilot area is good, allowing us to make some relatively bold attempts.