DeFi is dead. Long live DeFi.

Published in

HakkaFinance

5 min readJun 27, 2022

Bear is for #BUIDL

First of all: if you have managed to survive the recent market turmoil, congrats! Always remember to hydrate yourself, get some sunshine, exercise and spend time with your loved ones. The world has a lot to offer beyond crypto, and tomorrow is another day 😄

Now, let’s try to rationalize this.

2022 — DeFi’s Annus Horribilis

So far, 2022 has been a hell of a year for Decentralized Finance (DeFi):

And we’re not even mentioning the massive layoffs, the bear market we are currently going through all across the board, macroeconomic (US Fed rates, record-high inflation) or geopolitical events (Ukraine, Russia, China, Covid19) we all hear about everyday, adding to the uncertainty.

It’s as if the stars were aligning.

And not in favor of DeFi.

DeFi has to do better… or die trying

In fact, this is not a good look at all for Decentralized Finance.

Has DeFi reached maturity or mainstream recognition? Definitely not (yet): it has a long, long way to go. On top of that, the sector needs to deal with the sheer hostility from various established actors (institutions, regulators, TradFi personalities), who have a lot to lose if DeFi really is the game-changer it claims to be.

In other words: DeFi carries massive transformational potential, but it can still be severely damaged in the egg.

But that battle might get even harder if flagship DeFi protocols shoot themselves in the foot and can’t live up to their promises, becoming the laughing stock of the world of finance, and obliterating the portfolios of countless degens in the process.

After all, weren’t the whole concept and vision of cryptocurrencies born out of the moral and managerial bankrupcy of the whole TradFi system?

Aren’t we supposed to do better and write the future pages of history of finance?

Going full circle and repeating the mistakes of TradFi will not get us anywhere meaningful.

The cycle needs to be broken.

Hakka Finance’s vision: becoming the next-gen decentralized investment bank

In fact, that’s what we, at Hakka Finance, have always strived for.

Hakka Finance is often misunderstood. But being complex and complicated are two very different things. The former is better than the latter.

We have shared a few months back our roadmap for 2022.

But it doesn’t hurt to explain our mission again:

1- We, Hakka Finance, are a Decentralized Autonomous Organization (DAO)

Hakka Finance is composed of a team of DeFi enthusiasts building next-generation financial instruments, inside a single ecosystem (think Google Search, Gmail, Drive, Docs, Sheets, Translate, etc inside the Google ecosystem).

2- These financial instruments enable anyone, anywhere, to reach financial sovereignty.

That means that the money and resources you use are and will always be yours, and never handed to a trusted third-party like a bank or a centralized platform. Your money is NOT under the custody of the Hakka team and you can exit the ecosystem anytime.

3- Those instruments include alternative ways for DeFi users to make money in crypto

Platforms to trade derivatives — assets which value depend on the volatility of another, like interest rates, impermanent loss, etc — (iGain IRS, iGain IG), a platform to predict the price of specific crypto tokens and be rewarded for your accuracy (Hakka Intelligence), farming pools, insurance against DeFi systemic risk (3F Mutual), liquidity pools (BlackHoleSwap), liquidity mining pools, and many more in the making!

4- The decision-making process of the Hakka Finance DAO is handled by a token, HAKKA

HAKKA grants you voting power when it is staked (sHAKKA). The more sHAKKA you have, the more influential you are in the DAO.

5- We build original and safe financial instruments

Our core team will never rely on low-effort copycats. If anything, we would integrate our instruments modularly to existing platforms and networks (iGain for Aave, Yearn, Polygon, Fantom, Hakka Intelligence for Chainlink, etc). Also, our smart contracts are always audited and subject to a bounty program to help our community find any bug or vulnerability.

6- The name “Hakka” comes from a Chinese ethnic subgroup

They’re typically known for their resilience, bravery, diligence and hard work in business and agriculture. Hakka Finance will tirelessly apply these virtues and cultivate the unexplored soils of DeFi.

In a nutshell: Hakka Finance is a next-generation investment bank.

Providing innovative, secure and permissionless decentralized financial instruments to anyone, anywhere, regardless of the size of their portfolio, without KYC
Running in a decentralized manner, with anyone across the world with voting power able to collaborate on the direction the DAO should take

The market cap of the DeFi industry remains extremely tiny compared to TradFi, representing barely a one-digit percentage of it.

The room for growth is immense.

Don’t be distracted by the recent crash.

It’s not the first. It’s not the last.

A falling tree is louder than a growing forest of DeFi applications.

In the short term, markets are a beauty contest.

In the long term, they are a weighing machine.

It’s time to BUIDL, and give DeFi the glory it deserves.

Stay strong, anon! 💪

All the Hakka Finance products are available for you here.