Here’s a simple framework for conceptualizing DeFi: map the current financial system and evaluate the extent to which decentralized alternatives can:
1. Effectively disaggregate key financial services,
2. Compose with each other, and
3. Be used to address real-world issues
Modern humans developed:
- fire 125-300k years ago
- language 50-150k years ago
- math 10-30k years ago
Internet has been around for ~40 years. It's a new thing.
Remember when people would say 'blockchain, not Bitcoin'?
Blockchains have been around since the 90s when Nick Szabo described Bit Gold.
It wasn't until Satoshi combined it with Adam Back's work on hashcash that blockchain become ubiquitously useful.
Bitcoin. Not Blockchain