1. Home
  2. News
  3. Bitcoin news
  4. Ex Goldman Sachs trader believes Bitcoin will be overtaken by DeFi in the coming years

Ex-Goldman Sachs trader believes Bitcoin will be overtaken by DeFi in the coming years

Photo of: Janeth Diamond
by Janeth Diamond

Goldman Sachs, the name itself has been carried out for generations and it has a legacy of providing solutions surrounding investment banking, asset management, prime brokerage, and many more. Recently Richard Rosenblum, who used to head the crude oil and derivatives trading at the banking behemoth expressed his opinion about Decentralized Finance and its applications. He was of the opinion that DeFi applications are huge and in the next few years they will steal Bitcoin’s thunder. This statement was given by him in one of his interviews with TD Ameritrade Network. He further added:

“We’ve had a major change in the paradigm of the market, and I think that you are going to increasingly hear about decentralized finance and hear less talk about Bitcoin in the coming years”   

This he said despite holding a reasonable share of Bitcoin himself. But that doesn’t take away his belief that DeFi will lead the way. Bitcoin he believes is still in its early stage of disruption. The exclusive interview given by the Goldman Sachs think tank can be accessed here.

He says that when crypto first came into the scene, it was all about transferring value in a decentralized manner with Bitcoin. But, now the world’s first currency is already 12 years old so its name is already firmly established and a name reckoned with cryptocurrency. Presently people are getting lured by Decentralized exchanges especially with identities like Uniswap which has gone beyond expectations. It has also surpassed Coinbase in terms of daily volume last month. 

Looking at how people have started believing in decentralized finance, that very much answers the question of how the next logical step is going to be the decentralization of everything in finance according to Rosenblum. A lot of detractors have not refrained comparing DeFi with the ICO bubble in 2017 but Rosenblum believes that with DeFi it is different this time:

“Today, we are seeing real adoption. There’s as much as a billion trading on these decentralized venues.”  

Rosenblum also said that there is a word of the year that has been doing rounds. And thinking of it, that word of the year is governance in the cryptocurrency world. 

“If you are a holder of this governance token (you and I), you will be part of this discussion.”

He also creates analogies with a real estate company by the name WeWork. He says after all its all about the community, its opinions, and their rights on the protocol. He also predicts that crypto will go big and gradually it will have a lasting impact on several industries also. 

“So, I think because there are incentives there…it’s been leading the charge but we are absolutely gonna see the next stages in the coming years of everything that struck parallel ecosystems that is crypto is gonna impact the rest of the world.”

Cryptocurrency is leading a huge change in the world of finance. Top believers in its power to influence global markets are hopeful that DeFi will not repeat the story of the ICO bubble and its looks for fundamentally strong growth prospects in the years to come.