DeFi needs a 'killer app' to take it to the next level, says Ripple exec

A “killer app” for consumers is what will be needed to bring the decentralized finance (DeFi) industry to a level that appeals to a mains...

A “killer app” for consumers is what will be needed to bring the decentralized finance (DeFi) industry to a level that appeals to a mainstream audience, said Boris Alergant, Head of DeFi Markets at Ripple Lab.

Alergant made the comments during a panel at the Blockchain Futurist Conference titled “The Future of Decentralized Finance” on August 9, which was covered by Cointelegraph reporters on the ground in Toronto, Canada.

Alongside Alergant, Kevin Hobbs, CEO of Aventus Ventures, Lisa Loud, Co-Founder and CEO of FLUIDEFI, and Ryan Berkin, CEO and Co-Founder of Teller Finance, also participated in the panel.

The general feeling among the panelists was that centralized financial institutions will ultimately push DeFi towards mainstream adoption. Alergant suggested that growth will likely come from a user-friendly CeFi app that provides exposure to DeFi services:

“For an average user, you tell your mother how to go out and stake Aave or ETH […] and it is a process. She doesn’t know how to use MetaMask, but she wants to generate that yield somehow. She wants to trade but she doesn’t know how.

“So I think institutional adoption is where it’s going, and institutions are what’s going to enable […] this killer app for consumers to really take crypto and DeFi to the next level.

FLUIDEFI co-founder and CEO Loud expressed a similar view, noting how the everyday person eventually embraced the internet without understanding the internet protocol suite, also known as TCP/IP.

“We all use the internet, right? The internet was a paradigm shift for us, but we don’t know how to use TCP/IP. Right now, everyone who uses DeFi knows how to use the protocols , it’s not sustainable, it’s not a good model to adopt.”

“If we look back two years, I see institutions investing more in DeFi and I see companies simplifying user experiences,” she added.

The Ripple executive also pointed out that the The DeFi sector will soon work hand in hand with the CeFi industry to provide financial services to customers.

“DeFi will ultimately complement and supplement CeFi. Ultimately, you don’t really care if a transaction is done through decentralized means in a centralized exchange. I just want the best fucking execution,” he said.

Related: Decentralized Finance Faces Multiple Barriers to Widespread Adoption

The Blockchain Futurist Conference is the largest annual blockchain and crypto conference in Toronto, Canada, and runs until August 10, 2022, mark the fifth year of the event. This year’s event is expected to see Ethereum co-founder Vitalik Buterin speak there despite appearing at Korea Blockchain Week only two days ago.