Non-serious discussion on blockchain finance from "self-tearing" (1): ideal and reality


Do not analyze the industry in which you are seated

From the birth of Bitcoin to today, the blockchain has gone through 10 years. The conversion of the bulls and bears in the middle of the baptism of everyone in the industry, the belief continues to withstand the test of the market. When Bitcoin once again stood at more than 70% of the total market value, when the consensus of digital gold was once again consolidated and expanded, what about the other tokens? The token distribution boom driven by the Ethereum smart contract once allowed the ETH's Utility property to reach its limit but was cooled again by the market; the large-scale concurrent application of EOS still relies on BC support; other various types of Utilitytoken exhausted all the solutions, you I will not be able to get rid of the time to change space. The STO, which was once hyped, is more reminiscent of the advantages and characteristics of the blockchain assets in order to finance the compliance. It is reminiscent of the special ethnic group of Jin Yong.

Bitcoin will usher in a new halving next year. We are looking forward to it and look forward to the biggest benefit in this industry. After that? If there is only one expectation, good and bad are synonymous. Speculators always come with the most sensitive sense of smell and the quickest action, and take away everything that they want to take away. Where should a bunch of blockchain practitioners, believers and investors go?

A predecessor who was in the midst of the software wave, the Internet wave, and the financial wave once said that the rest is the one who keeps thinking about what problem I want to solve. The existence of any industry exists to solve problems and meet demand. Ideals and feelings are the most vulnerable to being killed. Ideals and feelings are also the easiest to use. The blockchain world seems to be being severely torn by idealists and real speculators. Of course, idealists and real speculators are often stupid to know who they are. Most people are torn by their own ideals and reality. crack.

The above is the inner monologue of a self-tearing practitioner. In order to avoid tearing at the same time, the reader is not allowed to check in. With the last trace of the gods, we are entering the blockchain to solve the problem:

Who is closer?

There is no doubt that the development of an industry needs to consider what problems to solve from different angles. What problems need to be solved by the public chain (Lay 1) and the public chain auxiliary facility (Lay 2)? Performance, security, decentralization and efficiency trade-offs… The developers of the public chain are like the inventors of steam engines and a series of improvers, constantly thinking about performance, usability, safety, etc. from the technical level. And ascension, as to what to do with steam engines is not the main goal of their thinking; while other inventors are committed to thinking about using steam engines to make ships and trains. The latter is closer to human beings. The former is closer to God. Human beings create God or God creates human beings. The first chicken or the first egg becomes a boring philosophical question. In short, no one can do without it. If you can't figure out what problem you have to solve, don't think about it, first figure out who you want to be closer.

It is easy to become who is in the name of the industry, the more vigorous the industry, the more the situation, until the industry is hurt. After bad money drives out good money, there will be a day when good money drives out bad money. Gold always shines is the most painful truth.

Is the time to train?

Before discussing the construction of a train, it is clear that no technology is omnipotent, and any technology always has limitations in application scenarios. Those who have made the blockchain omnipotent are not as good as those who "in whose name". If the two sides meet, the latter will very disdain to think of the classic line of Li Shu's film in Feng Xiaogang's movie: I am most annoying you. There is no technical content at all.

If you want to be closer to humans, do you need to consider the timing of the train? Because those who are close to God like V God, G God, B God, J God, etc. have not invented a steam engine that can drive the train. The success of Makerdao is that they know that the blockchain steam engine is now the best pumping pump and pumping water. The failure of Dex is that it is clear that it can only pump water, but it wants to pump sea water.

Black cat white cat?

Defi has become a new blockchain trend in the past year, and everyone calls Defi, a purely decentralized financial application. Defi represents the inability of blockchain practitioners to apply indefinitely to application and decentralized chain applications. Undoubtedly, the fully decentralized chain of financial applications is the ultimate goal of all blockchain believers, and MakerDao is the best interpretation of this ultimate goal, and it is almost the only interpretation. But the success of MakerDao can't hide the bluff of Defi's trend. The first half of DeFi represents decentralization and the second half represents finance. Or the first half represents ideals, the second half represents reality, and the result of ideal and reality collisions is often…

No one will question the inherent match between blockchain technology and finance. After all, the goal of Nakamoto's design was to solve the trust problem of cash transactions. The birth of the blockchain is a financial change test.

If the blockchain is placed in the most matching financial application scenario, Defi only represents the ideal, and the cruel reality is that Defi's users and transactions are small and poor (please refer to the dry goods articles of various Defi dilemma analysis, in This is no longer expanded). Defi is a cat, but it is still far from the good cat. The important reason is the limitation of infrastructure. These restrictions have limited the scenarios that Defi can achieve. The user's operation is too difficult and the overall efficiency is insufficient. Defi's current status can be summarized as a pilot exploration of industry development: the results are gratifying and the success is still far.

The development of the industry needs to solve the problem, and it is more necessary to solve the problem on a larger scale. To solve the problem on a larger scale is the basis of the good cat's assertion. Rather than how elegantly catching mice is the basis of a good cat's assertion, Defi is currently an elegant cat.

What kind of cat is a white cat and a black cat? Subsequent articles will analyze the development possibilities of the blockchain industry from a financial perspective. The next article, "From the "Tears", the blockchain finance is not serious discussion (2) – reality and current situation"

Author: Yang Tao, FinNexus founder, Wanchain co-founder