To the emerging fintech world in the near future, Nonfungible tokens could become a bridge to connect the legacy financial system. Adrian Lai, CEO of Liquefy — an investment firm and an incubator for decentralized finance platforms — told Cointelegraph China that synthetic assets, NFTs and digital securities are redefining the way capital markets operate, during a recent interview.
As long as there is a reliable data feed. This emerging trend between traditional finance and DeFi is inevitable, Lai especially believes that the value of synthetic assets could give each individual in decentralized finance access to essentially any asset. . This emerging trend between traditional finance and DeFi is inevitable.
Lai also pointed out that as the convergence between security tokens and digital currencies grows greater, we will see increased activity between traditional finance and cryptocurrencies. He added that:
“We are seeing a merger of security tokens, utility tokens and NFTs. NFTs can also now represent real assets, which was not considered several years ago. The convergence of traditional finance and the crypto space is increasing more and more.”
Lai gave centralized exchanges as an example, saying that some of them have been moving beyond the traditional understanding of being simply a trading venue. Platforms like BlockFi and Coinbase offer retail-focused services like savings accounts and crypto payment options — services that make these platforms function like traditional financial institutions, at least partially.