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We’ll cover DeFi basics beyond what we know about crypto lending and yield farming covered in a previous video. Plus, how we can gear our minds to think about the DeFi future from both investment and opportunity perspectives.

0:00 Intro
1:20 Defi It is coming
Nascent
Growing rapidly
We can all use it
Future of financial services
Compelling value propositions
Why does DeFi Matter?

1:50 What is DeFi DeFi is short for “decentralized finance”
Blanket term for a variety of financial applications
It will disrupt financial intermediaries
Think banking (eg borrowing & lending), insurance, exchanges, real estate

3:00 Reminder on Blockchain Basics
Blockchain
Decentralized
Cryptography

3:10 New Finance Paradigm
Anyone can do it
Borderless
Frictionless
Peer to peer
Transparent
Permissionless
Rules driven
Fractional
Immediate

3:55 Total Value Locked-in [TVL] DeFi
Top 17 players
TVL grown from 1bn a year ago to 50bn today
TVL represents assets staked in a protocol
Number represents amount secured by a specific application

TICKER
DEX
Total Value Locked ($)
COMP
Compound
$9,098,526,170
Venus
xvs
$7,782,231,986
XVS
Venus
$7,782,231,986
MKR
Maker
$7,550,939,543
CAKE
PancakeSwap
$6,116,708,669
DYDX
cake
$6,116,708,669
UNI
Uniswap
$5,725,987,541
AAVE
Aave
$5,413,584,019
CRV
Curve Finance
$4,626,996,858
SUSHI
SushiSwap
$4,312,501,798
ISNTA
InstaDApp
$2,559,632,591
SNX
Synthetix
$2,215,326,113
BAL
Balancer
$1,990,873,917
BNT
Bancor
$1,619,318,582
DYDX
auto
$1,530,093,417
DYDX
Bunny
$1,467,060,644
Badger
badger dao
$1,077,347,245

4:55 Example Real Estate Tokenization for Timeshare PROCESS:
Get property verified on blockchain
Tokenize it eg 365 tokens
Sell Tokens eg keep 50% and sell 50%
Currency eg ETH
Rent = 1 ETH per month or .0328 ETH Day

6:30 DeFi and Real Estate
House
Smart Contract
Owner keeps 180 tokens
Sells 185 Tokens
Automatic rent payment delivered to token holders
New Fractional Owners

PROCESS:
Property verified on blockchain
Property Tokenized
Currency eg Ethereum
Rent = 1 ETH per month or .0328 ETH per day

Example Real Estate Tokenization for Timeshare

8:40 DeFi and Insurance Predefined coverage, period and perils
No fees
No middleman
No brokerage fee
No adjustment fees
Fully automated
SMART CONTRACT has all insurance contract elements and automatic Oracle adjudication and payment.


DeFi and Insurance
POLICY COVERAGE
Carbon Fiber Mast
PERILS
Breakage from load during racing
Exclusions
Collision
Winds 40 knots
Coverage Period
During 10 Yacht Races on Pacific Ocean 2021
Oracle
Saltwater sensor beacon mounted on top of mast
Fee
1 Bitcoin

10:00 DeFi and Insurance
Mast
Smart Contract
Oracle
Monitoring or Oracle and Execution Mechanism
Automatic Payment Delivered

12:00 Conclusions
It is here
Big investment opportunity
We can all be beneficiaries
We can all hang our own shingles
The future is disruptive and bright!

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