Today, the global financial system is still dominated by centralised financial systems run by central authorities. Think financial institutions like central banks, regulatory bodies, banking institutions and more.
In the past, centralisation was welcomed as it served as a maintainer of stand standards and stability in the global financial system and was viewed as more reliable and safe compared to personalised management.
However, these centralised financial (CeFi) systems have their flaws.
In reality, these systems are prone to issues like mismanagement and fraud as seen with events like the Global Financial Crisis (GFC) of 2008 and the recent FinCen leaks which revealed the flaws of centralisation.
Not to mention that although most of the world has a smartphone, the latest data from The World Bank’s Global Findex database revealed that 1.7 billion adults around the world remain unbanked.
There is also a lack of reliable banking accessibility and financial stability or accountability in many countries....