12 Markets Crypto Decentralization Can Actually Improve

Published on by Coindesk | Published on

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Although each of these markets is a P2P marketplace, each of these marketplaces is run by a centralized company.

There is no structural reason why most P2P markets need to be decentralized.

Given these two observations, we should naturally ask: what markets are actually better as P2P markets without a centralized intermediary?

It turns out there are actually quite a few markets that we can already identify that are better truly decentralized.

Below I'll walk through some of the markets that we've identified that benefit from one or more of these traits.

Given the KYC, broker/dealer and banking frictions involved, U.S. capital markets are simply unavailable to billions of people around the planet.

Using the open finance stack, capital markets will become truly global and accessible to anyone anywhere, permissionlessly.

I expect we'll see new markets emerge, e.g. meme markets around celebrities like PdotIndex.

Today, market participants trust online casinos that they're actually using a random number generator.

As these kinds of changes unfold, we can expect to see repercussions in adjacent industries, and so we should expect the evolution of P2P markets to be highly path dependent, making it particularly difficult to forecast second and third order effects today.