In today's financial landscape, crypto has emerged as a compelling asset class for investors worldwide, alongside traditional options such as gold, real estate, stocks, and bonds. Each asset class carries its unique properties, risk profiles, and potential rewards. Financial advisors often stress the importance of diversifying investment portfolios across multiple asset classes, tailored to individual risk appetites and expectations.

With over 400 million crypto wallet accounts and a market capitalization exceeding $2 trillion as of April 2024, crypto has swiftly garnered a massive investor base. However, navigating the complexities of the crypto market poses challenges, unlike any other asset class. Factors like whitepapers, project roadmaps, tokenomics, whale actions, macroeconomic conditions, and regulatory changes significantly impact the highly volatile and 24/7 active crypto market.

While some individuals possess the expertise to navigate these intricacies, many investors lack the time or capacity to consistently evaluate crypto assets. On one hand, crypto experts seek to monetize their knowledge and efforts by transitioning into financial advisors. On the other hand, investors aspire to capitalize on these experts' performance.

The solution lies in a platform that bridges the gap between experts and investors in a scalable manner. However, before delving into the requirements of such a platform, it's crucial to recognize two distinct sets of investors with unique needs:

DeFi Native Investors:

These are existing crypto investors, comprising the 400 million-plus wallet accounts already engaged in crypto investment. Lacking the expertise or time to actively manage their portfolios, they often rely on social media for crypto alpha.
 

• Key Requirements:
   
  • Verification of expert performance
     
  • Trustless investment solutions with decentralized asset custody
     
  • Permissionless investment opportunities
     

Traditional Investors:
 

• This group includes traditional investors and institutions seeking regulated, trusted solutions endorsed by recognized financial entities and compliant with local tax regulations. However, engaging traditional investors poses challenges due to several factors:
   
  • Governments' cautious approach towards crypto adoption
     
  • Lack of clear regulatory frameworks
     
  • Need for investor education and awareness
     

While addressing traditional investors remains a long-term goal, current circumstances warrant a measured approach. Many governments, including those of major economies like the US, China, and India, exhibit cautious attitudes towards crypto adoption, preferring a gradual transition to ensure regulatory alignment. Additionally, traditional investors require comprehensive education on crypto, a process that demands both time and resources.
 

As perceptions towards crypto continue to evolve, building products and fostering relationships with traditional investors will become increasingly feasible. However, the immediate focus should be on catering to the needs of DeFi investors who require solutions tailored to their unique preferences and circumstances.
 

For updates on our latest developments aimed at addressing these needs, stay tuned to our social channels. Exciting things are on the horizon for DeFi investors!