In this new generation of consumers, trends and tech, cryptocurrency, blockchain and NFT-focused companies are emerging to provide solutions.
“E-Trade (ETFC) – Get Report has 5 million users, Charles Schwab (SCHB) – Get Report has 32 million users, and Coinbase (COIN) has 56 million verified users — that’s just astounding. That’s amazing. What this tells me is not only are people just interested in trading cryptocurrencies, but the consumer set is a new generation of people, a new generation of consumers, a new generation of tech, and a new generation of solutions that are being worked on,” said Ed Lopez, Managing Director and Head of ETF Product at VanEck (OUNZ) – Get Report.
“I think we’re still in the early stages of all of this, and the potential for blockchain will broadly redefine business and the way we do business. It’s helping to redefine the financial system,” he added.
One of the biggest trends in the financial space right now is de-fi, or decentralized finance, which has the potential to recreate and disrupt the financial system.
There are projects focused on lending led by companies like BlockFi, Compound and Ava. And, there are asset management companies that are strictly focused on crypto or supporting crypto, whether through funds or mining themselves, but also by providing the backbone infrastructure for the coming future of finance.
“A company like Silvergate (SI) – Get Report plays into that,” said Lopez.
We’re also seeing the new evolution of decentralized exchanges from companies like Uniswap, which basically functions as a secondary market without the middlemen — the market markers, the clearinghouses, the custodians or the financial institutions.
“I think the potential of something like that to help lower costs and increase efficiency is extremely attractive and must be paid attention to,” Lopez added.
Additionally, there have been some buzz worthy trends happening in the NFT space with digital art, etc. and whether or not they stay in the same form, the technology coming out of NFTs can allow real-world assets to be transformed into crypto-compatible assets.
“I think we can have a system that is decentralized that is secure but can now be verified in a decentralized way without the need for one, or several, central intermediaries, which can be more inefficient and more costly.”
Watch the full webinar sponsored by VanEck to hear more insight about the evolution of blockchain and how the foundation of crypto Is changing fintech: