Okay, you have so good morning. Good afternoon then. Good evening, everybody. I mean depending on the time zone My name is Daniel Segue and in this presentation I'm gonna give you a conceptually introduction to DeFi decentralized finance Which is perhaps getting to be an interesting topic. So this is hyper ledger and this is a I mean free community based hyper ledger meetup Up to this point DeFi was not really a hot topic In hyper ledger, but I mean, I guess it's it's slowly changing So in the future, uh, there might be like more hyper ledger project projects in terms of DeFi Just a few words about me I'm basically a software architect specializing different distributed ledger technologies or why Two major directions that I have one is Is a little bit like the the consortium stuff It's like hyper ledger fabric And the other one is is solidity and open ethereum And in that sense, basically decentralized finance, of course is is very very interesting What I'm gonna have is like almost one hour or perhaps more than one hour presentation My proposition is that I would just do the presentation I will stop like in every 15 minutes If you have like smaller questions or things yet that you don't understand And then I would propose like a longer discussion at the end We might as well have sometimes like 15 or 20 minutes at the end So basically, uh, we're gonna speak about DeFi that's decentralized finance And I have basically said that this is gonna be like a conceptual introduction What do you mean by that? Uh, conceptual means DeFi in DeFi, there are like a couple of interesting stuffs In terms of like marked market and market development And there might be some interesting points as well in terms of regulation But I'm I'm not gonna talk about either regulation or or market development I mean market goes up and market goes down And regulation is always which is like more complicated What I'm gonna cover in this presentation It's gonna be like the the new innovative and conceptual ideas that were raised basically with DeFi And that's gonna be a presentation over on that on that conceptual innovative ideas basically So that's what I mean conceptual introduction. So if you missed like at the end, yeah, what about regulation? That's a difficult question. What about market market goes up and down and collapses sometimes It's an even more challenging and complicated questions But I'm not gonna talk about them are at least not in this presentation not in this slide show So let me just start This is the agenda for my presentation I'm just gonna start with the DeFi stack Then I will just cover it with not so much in details But there's some ideas as you know conceptual overview on the different layers of the DeFi stack That's gonna be like settlement layer tokenization Some points from the protocol layer that's gonna be like briefly cover decentralized exchanges stable cryptocurrencies Some further DeFi protocols like decentralized lending decentralized derivative And I have one slide on on the presentation application layer And of course as I mentioned at the end So there's just some some discussion or there's a place for some discussion So if you have like longer questions or suggestions or ideas I mean just we can likely discuss basically at the end if you have like smaller points or questions or Something doesn't work or my network breaks. For instance, then you can likely issue them basically during the during the presentation So let me start basically We chapter zero And this is gonna be the DeFi stack or the conceptual introduction for for DeFi On a very very basic level So let me have just one slide. This is a little bit like blockchain evolution We started basically somewhere in in bitcoin or with bitcoin and after that basically with ETU I'm not gonna go so much in the details But what I would like to highlight in this in this slide Is that the evolution basically of blockchain applications and infrastructure might might be a little bit differentiated At the moment So I would say that the direction of innovation goes a little bit Into two direction two directions one is like something which is an infrastructure innovation And the other one is is something which is rather an application level innovation So what do you mean? What do I mean by that? So it's like infrastructure innovation is something which is like, you know L1 scaling L2 scaling Doctrine interoperability and stuff like that. They are very technical and very challenging Focusing on more transactions faster transactions and stuff like that But what's very important and very very interesting that there's kind of an application innovation And basically application innovation might happen partly like independently from the infrastructure innovation And I would expect that that that trend continues on the long long run So we can expect that like The certain part of application innovation Will happen basically independently From the underlying infrastructure or from the underlying blockchain We might as well say that these application innovations happening on a blockchain agonistic way We are still not there but that's kind of a trend actually that's kind of a long running trend So what do I mean by that? I mean one part is basically tokenization It's like, you know fungible non fungible tokens and stuff like that So like NFT and basically defies is kind of a rather an application level innovation Which might on the long run Basically run on any kind of infrastructure This is not not the case at the moment But if you if you just consider NFT NFT started basically with ethereum But at the moment I would say NFT is like a general concept That can be interpreted on almost on any kind of blockchain And perhaps on the long run it will be interpreted even online You know, I mean perhaps even on banking infrastructures as well Um, I know it sounds crazy, but that might come So that's somehow the evolution and again, it goes like to direction I would say one is basically the infrastructure And another one is the is the application level innovation So what is decentralized finance? Uh, it's just I just literally like topic But not exactly That's gonna be a new topic. So decentralized finance is basically I would say The application level innovation What it does, it's basically financial life services Built on built on different distributed ledgers So I would say So, yeah, is there is there any question? If not, then would you be so kind to And daniel you're set as host so you can give people as needed Oh, okay So, um, if I say financial or financial life services So, you know, I mean, I don't want to go very much into the details Like if you know cryptocurrency is money or or not money Or if like a defi protocol is a financial service or strictly speaking It's not a financial service but something different But I would say I mean the idea and the target is to is to have like Financial services that exist moment at the moment like with banks and other financial institutions And it's practically a blockchain. So what do I mean by that if you copy copy them on the blockchain There are like two fundamental elements Uh, one is the back end and the second one is the front end So on the back end terms, uh blockchain means everything is running with smart contracts Everything is fully decentralized. I mean not everything is fully decentralized But especially the core logic the core financial services are decentralized with smart contracts That have that have certainly some implications. So like, you know, I mean if it's fully fully decentralized It's a service basically running throughout the world It's just more difficult to get, you know, a legal entity behind Who's running more difficult to repair bugs and so on as one and exploitations But nevertheless, that's the idea that full back end logic of a of a so-called DeFi financial service Is running basically with the help of smart contracts fully decentralized And there's another part of that of DeFi. That's the front end path Front end looks that way. Front end is usually non custodial Which means people using like cryptocurrency wallets They transact with the networks with that wallets And they they just storing their own keys We can say that cryptocurrency wallets these are sometimes not just cryptocurrency wallets But we can say something more like identity wallets Nevertheless, the idea is is that's kind of a web-free user experience what we're having Uh, web-free user experience means something that if you just want to uh, somehow Transact or use that kind of a decentralized financial services What you need to do is to generate your keys Get some cryptocurrencies or token perhaps and then transact with the network And they are just non custodial solutions non custodial solutions Solution means you are fully responsible for your keys If you lose your keys you practically use either your money Or your tokens or practically your access to this decentralized financial service And the other part is if your keys are stolen then practically Your your money your tokens your cryptocurrency or your access for these decentralized financial services Are stolen. I'm sure everybody just Already so like like metamask So like one way of using such a web-free User experience with the decentralized service financial service is just use metamask So that's defy from a conceptual point of view again We got one back end and one front end back end is fully decentralized running on smart contracts and front end is non custodial And what we try to do is just build kind of a classical financial services In terms of of decentralized solutions So going a little bit into the details, uh, but we can take a look is the so-called blockchain Layered blockchain application architecture. Uh, and that focus is pretty much on defy. Um, so Such layered solutions make always easy. Um, just to just to And basically the quality of the of the service Um, unfortunately, I mean the full blockchain defy space is pretty much in the early stage But later on, I mean, we might really expect some some layered solutions It's like, you know, like the tcp ip protocol is basically Build up in a layered sense and so on and so on. So I would expect that we will see like more such layered solutions So if you just take a look on the defy layers We got like five five important layers. I would say Actually free from them are important and one of them, which is really considered as defy. Uh, but nevertheless We can consider all that's defy space defy basically On the bottom, um, we see practically the settlement layer Settlement layer is pretty simple. I mean not simple but settlement but settlement layer does Settlement actually executes transactions. So that's that's all what the settlement layer does It's not so simple, of course from a technical point of view But from an abstractional point of view, all the above layers Are based on a decentralized settlement layer Practically execute transaction for you And that's a lot of blockchain protocols that can be found basically here The next layer is the asset layer Asset layer is the whole tokenization I would say So at the moment, it's just pretty simple. We got like fungible and unfungible and perhaps some hybrid tokens But if you just go a little bit more into the details, then we might as well find a big variety of further tokens as well And there's there might be like like future innovation and improvement improvement as well What's important is that It's not the case at the moment, but on the long run I would expect that asset layer is pretty much defined independently from this settlement layer So That would guide you if in the long run we got fungible token Then we could define fungible token totally independently of the exact or from the exact settlement layer That's not the case at the moment because the whole field is very much very strongly Influenced by ethereum or ethereum style networks. So like ERC-20 is basically a fungible token standard initiated by by ethereum But perhaps on the long run, I mean the field will be really further developed To to cover this layer that architecture So that's second layer and the third layer which is which is usually Regarded as classical defined. That's the protocol layer of this tech and we got here like exchanges I mean, especially decentralized exchanges We find here like decentralized lending protocols decentralized derivatives asset management all the yield farming And and even sometimes like decentralized insurance protocols and so on and so on But I would say this is just a layer of the of the full world Which is pretty important and and very much. I mean evolving at the moment But nevertheless, this is just one layer Which is I mean ideally That that is built up on the asset layer and not directly on the settlement layer It's again, I mean the word is at the moment not so hierarchical But I would expect on the long run that we can just Just define a decentralized exchange Just based based on a on a on a on a tokenization asset set Without worrying about what what is exactly the settlement layer Then we get the application layer application layer is the user interface. It's very important Nevertheless, I would say People are just just getting used to using like web web free user experience Uh, I mean just five years ago. Everybody just wanted to say like classical banking user interface for For such protocols, but that's not the case at the moment Nevertheless, it's a very important layer and on top we got something as aggregation layer aggregation layer aggregates practically are different solutions different different solutions So I'm just stopping here for a second if you have like very short questions Otherwise, what we're gonna do. I will have a couple of slides on each Each of these layers most of the slides are from the protocol layers, of course And what we're gonna do we just take a look on these layers one by one again focusing mostly on the innovation part of the whole defy stack and And not on the on the regulation or on the or on the mark development side So on a settlement layer I'm just checking if there's just like chat or something But I'm not gonna go very much deep into the settlement layer Three slides because as we mentioned, I mean defy is mostly not interpreting on the settlement layer But what's important that this whole decentralized finance defy stack Practically pushed forward a lot of like infrastructure level or settlement level innovations as well And they just worth mentioning. We are highly complex and highly developed partly But and perhaps they would exist without like decentralized finance as well But I think it's important To mention these innovations as well in the defy stack So if you speak about settlement, you know settlement does executes a transaction This can be like a cryptocurrency transaction I send from a to b money or cryptocurrency or this can be a smart contract call as well The major idea was of decentralized settlement The first one is like a layer one scaling You know, I mean in layer one scaling you got practically the blockchain blockchain having like notes transactions public private keys mining validations mark contracts and stuff like that And what everyone scaling does it tries to give something or it tries to improve something on a performance for performance side So like usually better consensus algorithm faster transactions faster transaction settlement more transaction per seconds Technically with like sharding or multi-chain or high performance and so on and so on So that's all layer one scaling. Uh, but it's happening actually without defy as well Uh, the things which are more related to defy I would say they are the layer two solutions Um Layer two solutions. What's happening? You just bring some some transaction out of your chain Uh, and there are many ways of doing it. Uh, one is that you get something which is a state channel Which is a channel, but not the blockchain And you just bring transactions off chain not offline but off chain and you send this transaction somehow off chain And then sometimes you go back to the original chain and make some anchor or or final finalization transactions These are like the lightning network and radium protocols, for instance Uh, another important concept of layer two solutions are rollups Here you bring transactions again off chain And usually you do either you execute a lot of transactions Uh, together or or a lot of calculations together There are two ways of doing it or two big directions. One is the optimistic rollup Here the practically the execution is based on a on a human factor So on a token tokenize the incentive and there's the more important or more exciting Like zk rollups Here practically you got cryptographic guarantee In terms of zero knowledge proves that your transactions executed off chain Really correct and deliver the the the correct result. Of course the correct result will be written back into the blockchain And the third solution of layer two solutions are Third element that are side chains. Uh, these are just sub blockchain blockchains anchors back to the main chain. So like, uh, like Couple of like polygon chains are just are basically sub blockchains Under ethereum or that's that's having some some anchor positions in ethereum And there's there's a third seeing which is very very exciting in terms of settlement. Uh, that's interoperability On the one hand as blockchain interoperability on the on the other hand as As working together with something else, which is which is not blockchain And I must say, I mean, I mean this this this settlement side side, uh Platforms are very important part of the five. So like the first one is like this If you just need some data out of out of your blockchain, you need to have some oracle In an in a possible trustless way, uh, which is not so easy to uh to realize But there are some protocols like provable and channeling and like oracle platform is Platforms are used practically almost in in every second the five protocols. So that's an important part Then technically we get some cross chain protocols as well. I mean cross chain tries to integrate like two chains So not just oracle oracle might not integrate two chains Can be realized in a way as well cross chain really is something which is happening between two chains Technically you have something as atomic cross chain stops or cross chain tokens What's most typical from a non-technical point of view are cross chain bridges They usually connect two chains And then they usually do Almost in a user friendly way. I mean Of course, uh, we speak of of web-free users But anyway, it's it's getting to be user friendly And of course we have something as general general purpose interoperability Platforms as well Sometimes it is they are just called as layer layer zero zero It's like like cosmos polka dot or in hyper ledger. That's practically hyper ledger captus So these are the settlement level innovations again, if I just Switch back to our most important side. This is our settlement layer And the next one is the So let me just take a look with the tokenization part Yeah, I just don't go very much into the details But I hope I hope despite it is it is understandable Speaking in details about these things. I mean each slide Might, you know, I mean would require like Like like a day or or more than a day So let's see the next layer The next layer is tokenization so Very fast. Basically. I mean token is something It is not defined absolutely specifically It is something which is which is like a poker chip A big piece of jet on or token token poker chip Which is running on a blockchain and what's important that the ownership of this token Is basically realized by by public public key cryptography and by the blockchain itself And if I say ownership, I don't mean like legal ownership This is like a physical or a cryptographical ownership basically and This is a pretty wild Pretty broad interpretation. So poker chips can be like, you know, I mean You can imagine us like different colors different size different amounts Different supply Different characteristics and so on and so on So there's there can be a really big very variety of of different such poker chips and such such tokens Again, what blockchain does blockchain basically Realizes with cryptography first the I mean Basically the transferring of these protocols and the exchange of these protocols and practically the cryptographic ownership of these protocols and the implementation of course, usually with smart contracts Sometimes there are just exceptions. For instance Most most platforms Have something as native tokens and basically native tokens Are are not realized by smart contracts So this is tokens. Uh, what's most more important? How do we use these tokens? Is that is there any question? So I'm not sure if there are any questions But if not, I would just continue So It is most important basically in tokens. How you use these tokens or in which fields do you use these tokens? And these are like token types and token categories What we can consider These are the classical So we can we can have like Or he can types In fungible token one token is exactly the same as another one. It is fully exchangeable or interchangeable with another one It's like if you consider like like money one one 10 euro notes to be exactly the same one as like another one Or if you just consider like if we tokenize voter One liter of water should be actually the same as another liter of water. So that's like fungible We get like non fungible tokens. That's called nft as well In nft practically each token is is totally different from another one So they are not exchange exchangeable not exchangeable with each other Classical example, if you just like to to tokenize basically art fine art So like Mona Lisa and Picasso You can imagine that both these arts or paintings are practically represented by an nft token and where Mona Lisa is is surely not the same as As Picasso. They are they are there's two different things. So they represented by two different nfts And we got some hybrid hybrid tokens as well So like one one is kind of basically hybrid token if you have like Several classes of fungible tokens, but the classes are basically not not interchangeable with each other So like one example If you just have have a role-playing game and the in your role-playing game Are you have like swords and shields and you get like thousand swords and thousand shields And then basically your thousand swords Are fungible. So so once for this is exactly the same as another one but like once for is Is not in exchangeable not interchangeable with a with a shield So they represent like an nft token category or something So these are the major topic token types There are some some more interesting innovation as well Like you have like a composable nft or you have like tokens standards even for For security tokens as well and so on and so on So let me just cover these three slides and I would just stop and then Take a look if there's question or if I just shoot the mute Couple of microsoft microphones So another characterization is how how we use these tokens And basically I would just say token categories Cover here, uh, like I just use these token categories. We might as they use some other categories as well Oh, there are there are different categories in the in the literature Sorry, but they just Okay Okay, uh, so one category is basically cryptocurrency In cryptocurrency we use like a token for payment. It's like it's like bitcoin practically it's like It's like Litecoin, uh, it's like monero and dash The major purpose of these platforms is to is to provide a decentralized payment solution Then we got some platform tokens In platform tokens are basically representing the major economic incentive of an open blockchain platform So if you just consider like ether in ethereal, that's responsible for for operating and connecting your platform In an economical point of view. So practically Uh, people just paying transaction fee and the transaction fee is collected by miners or or an long-land valid validators So it means that the system is is up and running from an economical point of view Uh, then we got something that's tokens I mean and utility tokens from practical point of view. It's it's again There's there's some discussion like which is utility tokens as which is not utility tokens, but it's mostly legal From a practical point of view utility token is something similar to a platform token. It provides like the basic economical incentive and working mechanism of of a decentralized application, for instance So like for instance in file coin if you consider file coin, there's there's like people are providing Providing storage and there are people wanting to store something on that storage and then the I mean And demand are connected with a coin with an economical incentive and that's why coin for instance Then what's very good or very innovative thing is like governance tokens It looks that way. So these these decentralized applications or defile protocols are not fully decentralized usually Usually there are like higher privileges Can do something And there are many ways of of doing such a things One way of doing is such a thing that you can yeah, you can just have some privileged user Or administrator or or stuffs like that But it's not very much decentralized So what's happening instead is that basically if you want to just find you part of your protocol Then Then that should be basically a community or based on a community voting Community acceptance and then the easiest way if to is to get such a community voting such a community acceptance Is by a government governance a governance tokens So governance governance token holders can practically vote for changing part of your decentralized applications Now we got some security tokens security tokens That's rather a legal legal term Meaning like financial security. So if you just tokenize like bonds For instance or stock that's gonna be like like security token for sure and otherwise Stuffs like that which are Which are very similar to that that things can be regarded as securities as well Now we got some tokens are representing natural resources Like like earth stock and for instance There are like initiative for for representing and trading with like like carbon and carbon credit That's getting to be interesting at the moment And They are just like tokenized baseball cards or like cryptokitties or decentralized Or parts of your metaverse is basically which is considered as as as as collectible or NFT And the and the last category is stable cryptocurrencies or stable crypto asset here We got practically something which should be pegged to an external asset Like most typical We got we got the stable cryptocurrency which is pegged to us dollar so Just This slide we just covered the asset layer tokenization layer and I would just continue with the protocol layer Which is probably the most exciting one And then but I would just stop for one minute If there's like some short short questions Or if something doesn't work Or if my screen is not visible or or or anything Yeah, so so you will get the so the session is recorded. It is published on youtube And then you will get the slides as well May I ask a question? So is there any question then yeah, please please just go ahead Yes Yeah My question is about, you know, what is the main difference of private blockchain Based on a tokenized, you know incentive mechanism and hyper ledger fabric something like this because I think There is many similarity between private blockchain that we are using a token as an incentive And uh hyper ledger. I would like to know what is the main difference of those two platforms Yeah So basically hyper ledger fabric is a settlement layer technology, which is a so-called consortium blockchain platform And then it already provides some some tokenization possibilities So you can define like erc 20 and erc 21 and perhaps even basically ERC 1155 tokens as well. So basically hyper ledger fabric is is is is practically a settlement layer technology providing a consortium a consortium blockchain platform And there's already some support in terms of assets and tokenization Did I answer your question? Yes, yes, actually I wanted to know that what is the main difference that One preferred to go to the private blockchain using some tokens or maybe on ethereum And some of them go to the hyper ledger You know technology Yeah So, um, so let me put it that way. Hyper ledger is is basically a rather an umbrella organization For for incubating many block many different blockchain platforms So it's it's not just one platform, but it's a linux foundation Initiatives open source initiative. So anybody having like like blockchain ideas platforms can practically contribute And there are many platforms and technologies in hyper ledger And in hyper ledger fabric, but hyper ledger fabric is not the only one So you find other hyper ledger technologies or initiatives as well Most of them practically focus on a consortium level consortium level means that your network is running Among different companies practically So so their usage is pretty pretty limited in terms of that companies and the and the users of that companies So that means that up to this point defy was not so Populated I would say in in hyper ledger But I hope is gonna be this gonna be changing practically on a even on a on a short run as well Thank you Yeah, if you know if I if I if I didn't succinct to to answer it fully then then I would propose I'll let me just bring to the end and then we can just discuss it further if you like Yeah, sir. Thank you so much for your information. I appreciate Uh, so let me just continue and again this one is getting exciting So basically as we saw in the last layer, we got tokens basically we got tokens for everything Sorry So what's very interesting and what's what's a very core item of of defy that's exchange so basically Most most of the core logic of your defy protocol Starts with exchanging one token to another one. I mean you can imagine as as the word is practically represent represented by different tokens Core idea is just just to exchange one token to another one so for this One of the one of the most important part of of decentralized finance These are the exchanges more specifically the decentralized exchanges So what's an exchange in terms of defy or in terms of cryptocurrency? So an exchange changes one token to another one On a certain exchange rate practically that's that's what an exchange does So the good idea is that basically Exchanges aggregate like supply and demand In a concentrated formalized and control way and then they provide better liquidity as well If we speak about like like non-cryptocurrency exchanges Then then it it usually worth mentioning that They provide like like like customer protection as well This is not the case in in defy or in with cryptocurrency exchanges or not so much the case So they are partly a little bit like uncontrolled unregulated So which means like I like, you know, I mean I mean customer protection is is usually doesn't play Very high role basically What you get in exchange you get practically orders. So usually you have something as a buy order It's a saying that I want to buy an asset for a given price And again, so in cryptocurrency exchanges this price Is is not usd for instance as most people in in any other blockchain or any other exchanges But it's it's it's the other token practically And you got something as sell orders So you sell an asset for a given price and again price is the other token practically And there might be some some other orders Like like spot trading Which is just get me a price that you that you have and exchange my token in a sense and we got some limit orders as well So classical exchanges are working on order book matching basis Order book matching is something similar that you see on the right side You get these buy orders and sell orders and these they are just matched So practically if I want to sell 100 token for 100 other token and somebody wants to buy 100 token that I'm selling 400 price Then these two buy and sell orders can be matched and it can be executed practically In a very simple, you know, it's a very simple way way So basically, uh, this is the basis of most or something similar Again, it's a very simplified version something similar is the basis for most of the exchanges We got an order book. We got an order book matching algorithm And then basically there are just buy and sell orders that are matched together So most of the central centralized crypto exchanges, uh work with practically Order book matching And there are initiatives as well, uh, having order book matching, uh, in terms of decentralized service And if you speak about dex, uh, dex That's that's practically means, uh, that's a decentralized exchange uh, and So let me just go to the next slides Uh, and the point is basically, uh, that the problem is that such order book matching is difficult to realize basically on the blockchain It is because of the scaling problems. Uh, it is just difficult to handle to store, uh, a big amount of order book on chain and it is difficult as well to do this In this order So like most of the initial like decentralized exchange implementation failed Due to scalability problem problems. It's again the transaction per second transaction time Then for instance in ethereum, you get the gas and you get the transaction fee as well, which might be high as well There are despite like decentralized exchange initiatives. Uh, they are usually like hybrid hybrid solutions So usually what you do you bring somehow this order book matching algorithm of chain But you keep the settlement on chain That's generally the idea It was like the the zero weeks protocol does something similar similar You have like different aggregated of chain order books And and the and the settlement itself. I mean the settlement Means here not the settlement layer of the d5 platform But really exchanging the two token exchanging the two token ownership practically So this settlement layer is on chain practically And then there are other ideas as well. It's like like doing the order book matching practically In the blockchain protocol itself But I mean, I would say that the the success of such solutions is unlimited a little bit at the moment So what's a very interesting and innovative approach? That's the so-called liquidity-based pool decentralized exchange So liquidity pool decentralized exchange Looks that way as you see it below It looks that way. Uh, you get like like three three rows First basically you get the liquidity provider liquidity provider provides you a pair of token And this pair of token is stored in a liquidity pool. So like saying I provide liquidity for ethereum bitcoin pair And this ethereum bitcoin pair will be practically stored in a liquidity pool I can't provide directly bitcoin like on the ethereum network But what I can do I can do like red bitcoin so I can provide I I don't know I just give like 100 token in ethereum and 100 token in red bitcoin and that's as a liquidity provider I I just lock it in this in this liquidity pool And for looking that amount amount in I will just I will just financially compensate it So I will get some transaction fees and stuff like that So I practically the key key element of a liquidity pool-based decentralized exchange is the liquidity pool itself Which stores pair of pair of tokens And what the trader does the trader practically are Transacts with this liquidity pool So if I want to sell Either for bitcoin or if I want to buy For bitcoin These orders are basically delegated to the liquidity pool and basically the liquidity pool serves these elements So there's no order book and there's no order book matching There's just more liquidity pool and then there's a liquidity provider, of course, which practically Locks some amount of money some liquidity in so basically the traders can be served basically What's an important idea as well? So in like an order book based exchange The price of an asset is is derived by the order book matching So if I just go back two slides So this is like somewhere the price Where the buy and sell orders can be satisfied and and settled But basically in a liquidity pool-based decentralized exchange, there's no such a thing. There's no order book So the price is calculated in an automated way By the liquidity pool I mean more specifically liquidity pool is a smart contract and you get some more smart contracts as well like Providing other functionalities like deriving the price And then this automatic price algorithm is called emm, which is automated market making making and again What's important this fully scheme is is on chain And it works even with like like a low scalability Blockchain settlement layers as well. So like with ethereum So that's the idea of a liquidity pool-based decentralized exchange And it was pretty much hyped basically in the last two years, for instance So this is like again in liquidity pool-based this You get like several electors by the intokens and token pairs For different benefits like commission or or liquidity mining tokens You get the liquidity pool which are smart contracts containing token pairs Or more complex tokens perhaps and the pricing algorithm is realized by a so-called emm Which means this algorithm An algorithm it's called an emm automated market making or market maker as well And that's a that's a dex. That's a that's a liquidity So the decentralized exchange is the liquidity pool and some other smart contracts practically Deriving price and giving like further functionality And trader trader is anybody who wants to trade with your dex Anybody wants to trade with your dex practically trades with your smart contracts or with the smart contracts so that we just But if I find it, but let me just try to find it If my browser works This is like so like uniswap is a classical example Just to show something in real life. So so this is like uniswap I hope my screen changed basically, but this is like a uniswap app What i'm having here basically is a very simple user interface I need to connect with my metamask In metamask what i'm what i'm having is basically like this is like ring buy This is like test eater what i'm having here And the only thing what I can do for the first run is swap token So basically if I say I want to swap a 0.1 eater Then there's a possibility to to check another asset that I want to Practically exchange to so let me say just maker and what's happening here there's the There's the There's a fetching price Which works in a way that it compares for all my pairs all my pairs of tokens And everything is on the blockchain practically and it gives me the better the best changing price basically for my 0.1 eater token. So that's all if I want to provide liquidity. There's like a pool Pool field as well. So if I can just I can just practically Select the token pair and I can just put in this token pair as liquidity and I might as well compensate it with some some extra tokens for that So that's the idea of a decentralized of liquidity boost pool based decentralized exchange Just one slide that just very briefly So emm stands for automated market making and from a financial point of view, it's just not so perfect or optimal That's an order book based exchange. It's because so there's a slippage slippage is the kind of a deviation from a price that you buy From the optimal buy price, I would say and it looks that way That this slippage depends heavily on how many How many you have practically in your in your smart contract and the amount that you want to trade So like if you having like, I don't know like like 2000 2000 bitcoin in your liquidity pool and and 20 000 ether and you just want to trade like like Like one ether to to 0.0 0.2 bitcoin Then it means that the that the amount Basically is is pretty smaller Your traded amount is pretty pretty smaller Then the then the full liquidity of the liquidity pool. So that means you get you get a pretty good slippage Uh But If you make a trade uh checks boys like 20 or 30 percent of the liquidity pool Then the then the slippage that's practically the the changing rates can be can be very very bad and very very far from uh from optimal So they are not perfect in this in the sense and there are that's an that's practically an interesting Like investigation and research How such an AMM automated market making already can be realized in a way that it it it is like like more optimal So that's the x that's the x that's the centralized exchange um Another interesting concept is stable cryptocurrency Again decentralized exchanges are it's just a bigger topic, but Covering everything would take like take uh would take like this So let me just take a look in a couple of slides another interesting That's again a protocol level decentralized final innovation and that's stable cryptocurrency So the idea of stable cryptocurrencies Is that we want to practically keep the price of a token stable Or packed to an external asset so like we want to have like Like a like a like a dollar Which And then there are three ways of realizing a stable cryptocurrency There's the so-called fiat fiat money collateral based schemes There are the crypto collateral based schemes and there are the so called algorithmic stable coins And they yeah, so sometimes they don't work like especially the algorithmic stable coins fell fail sometimes But they are interesting concepts nevertheless One thing that's worth mentioning. Um, so if you just speak about like defi protocols or like stable cryptocurrencies What you get here is basically a complex system. Uh, and then um, some of your system or some parts of the system Are secured basically by cryptography. So if you have like, you know A signature with your signing key, uh, that's that's practically cryptography Um, then you get something which is like a consensus mechanism It's again some something different. Uh, but especially if we speak about about the peg So this one to one ratio ratio Uh between your stable cryptocurrency and your and your and your underlying assets So so with the with us us dollar or or something similar It's important to know that this peg is usually not cryptographical This is like a market or this is like an economic guarantee Which might work which might doesn't work, but it's important that it's not so strong Then like a cryptographic guarantee So let's see these schemes one by one. So the the first idea is the fiat back cryptocurrency It looks that way. Uh, that's like that's like That's an institution If you just send one one dollar to the bank, then one such That one such token is issued And if you just want to change back one one such token, you just burn that token and basically you got back your money from the bank It's important to know that here your peg. Uh, so this one one by one ratio Is is secured by an institutional guarantee So it's there's practically a bank, uh, if i'm not mistaken in singapore Storing storing practically your money, uh, or storing the money, uh, which is behind the protocol and then and then So it's practically a counterparty risk. Uh, as as any kind of, uh, such counterparty risk That's an institutional guarantee. Uh that every issue Uh that has has has like one one dollar one dollar behind Then we got some other scheme. Um, that's a so-called crypto collateral based table cryptocurrency Um, it looks that way. That's more complicated Um, so what i'm having here, uh These schemes are based on collateralized that cdp collateralized that position or CDO Collateralized that obligation. I'm not quite sure which one is which But anyway, the idea is that you have to put put down a collateral That's that's ether, uh, usually and then based on that collateral. There's one one like stable dollar, uh, practically Uh, which is issued And basically it means that these schemes are Overcollateralized So you have to put in a lot more ether Then you get in dollar and you are somehow compensated for or motivated or incentivized for doing that Um, and basically it looks that way that this collateral is monitored, uh, in terms of the of the underlying asset of the u.s Dollar and if there's if there's a color color collateral ratio, which is too small Then practically our disposition will be liquidated So it means that in in each and every situation, uh, there's there's more Uh, it is guaranteed and it is visible on the blockchain It can be verified on the blockchain. Then then you get just more more collateral locked in ether Uh That then then then u.s dollar or tokenized u.s dollar practically issued In in terms of theater that or sorry that or that there is the uh, official So that's somehow the the idea of a collateral based, uh, stable cryptocurrency and we get the third one That's these are the algorithmic or fully fully algorithmic stable stable cryptocurrencies It works that way that in such stable cryptocurrencies. There's no collateral So there's there's you don't you don't lock, uh, practically in Uh, ether or or you don't have something which is like like Like a fiat money on a on a bank account Instead, uh, what you do are you just try to play with the supply and demand Of the of this of the certain stable cryptocurrency So if there's uh, if there's like a big demand, uh, for instance, uh for your stable cryptocurrency You issue more tokens in an algorithmic way and then if there's declining demand, uh for your cryptocurrency You burn somehow indirectly such tokens So like increasing increasing your token supply is easy Of course decreasing the token supply is is always like more difficult There's like two major items or ideas. One is the rebase model Which is based on on market decreasing your token supply and you got the uh, no, sorry The rebase model is is fully algorithmic and there's so-called semi-horror model, uh, which is based on like, uh, like market conditions There's usually another token which is like kind of an investment or semi-horror token And that must be both, uh and buying the token your Your stable cryptocurrency amount will be decreased practically Anyway, I'm not going very much into the details What's important to note So, I mean, I mean these schemes can be analyzed, uh, of course, uh, very much, uh, It's with a lot of science But let me just take a look. I mean how how they just just work. So if you just take a look on on tether We can see that it pretty much manages like the like the one us us dollar There there were recently one crash. It was a flash crash That was probably uh at the At the collapse of of tera Uh, and it influenced tether as well, uh indirectly, but nevertheless, I mean it works pretty well Then we can take a look. Uh, so no that that's die. So let's let's take look.  That's uh, that's a crypto collateral based table cryptocurrency It manages pretty well Containing the bag actually with with one dollar. Uh, so that looks pretty well And again, so the bad example probably you might have heard about that's like tera luna That's the that's a fully algorithmic, uh, stable coin and then unfortunately it collapsed and due to several reasons it was like a senior ash base algorithmic fully algorithmic stable coin and then In certain market conditions, it just didn't manage to maintain the bag And again, so it's important that like I mean you get tokens These tokens are running on the blockchain. So you get the crypto crypto cryptographic guarantee Then you get the guarantee of the decentralized protocols as well of the of the decentralized consensus But the peg itself. I mean this one by one changing rate was maintained or is is something which is an economic condition and then even if you have like So even even if you can guarantee that you have your token in a in a in a cryptographic way, uh Maintaining a peg and giving such an economic guarantee is something which is more complicated and more complex Okay, so this is like a negative example So let we have just a couple of more and I just have like four more slides I will be fast, uh, probably or I I do my best so we can have some discussion at the end uh, so there are some other further Interesting defy protocols. So for instance bomb decentralized lending There are there are like Two big ways of decentralized lending and I just mentioned like two perhaps the important ways of decentralized lending so So the first idea of decentralized lending is having something as a again as a collateralized debt position And this is again something which is which is over collateralized So like if I just want to have like, I don't know 100 ether then I I I need to provide the collateral which is like 150 ether in another token basically There are some some incentive mechanism. Why why it is a good thing for me to do it. But basically again, uh, so this over collateralization Basically guarantees that in in each and every Moment, uh, there's more collateral, uh in your full scheme Then the then the loan itself. So practically everything can be paid back Then there are mechanisms as well like interest rates or interest for supplying or for for for lending the tokens And the classical example is like if if protocol, I'm not sure if I can proceed But Again, it works similarly as as as basically As we see basically see so uh, so we got like like metamask And then you can just practically communicate with the protocol in a fully decentralized way So you can you can put in your supply Which is your collateral You even get some some some some person the teacher of tokens or api For your collateral and you can basically borrow borrow assets And it depends on how many collateral you have again, you have something which is an over collateralized position Another very interesting concept and this is something which which can't be found like for instance in classical finance That's the so-called flesh loan flesh loan is Practically you can You can get the loan without any collateral or without any any guarantee or without anything But the point is this loan must be repaid in in one transaction So you can practically get as big as big loan as you want But just for one transaction and the transaction guarantees that basically if you don't pay back your loan then then you Then the transaction fails So it it works that way as you as you just didn't didn't start it the transaction you didn't get that loan So your transaction guarantees the consistency or gonna guarantees that you must repay your loan basically It's interesting. It's usually like you get it for 12 seconds But you can get like a couple of millions of dollars for for 12 seconds without just Providing any collateral or or or anything Again, that's a transactional guarantee for for for repayment It's typical like doing such such things are use cases with that Like you can do like a collateral swap or most typically it is used for for like arbitrage And there are just two interesting things which are still not typical but yeah, perhaps coming on the long run So one idea is like the under collateralized loan So you get more loan that you provide And the problem is with that there's a high risk of for defaulting So for not paying back for your loan and the reason is for that that basically your full full defy Web-free ecosystem is is pseudonym based on pseudonym Accounts so for the first round nobody knows who's behind one transaction Who's behind one account? So basically if you get like more your loan them than collateral I mean, yeah, people just might just run away with the with the profit and that's all So what's like in the experimentation? There are like special purpose loans Special purpose loans you don't get your eater Fully so you don't you can't do anything with your with your like loans But your loan is somehow logged in a smart contract and there are just special things that you can do you do with it That's one direction for instance And then a very interesting idea is like using NFT as collateral So up to this point if I say collateral I mean usually like looking eater or looking Bitcoin practically in your smart contracts but Someone innovative idea is just using NFT as a collateral. The problem is of course It's it's pretty difficult to to value your NFT. So so it's I mean having a valuation How much it's exactly worse is difficult Then we got to very interesting Other direction that's that's decentralized derivative So basically derivative is an asset that derives its value From the performance of another asset We usually call it as underlying entity or underlying asset. This can be basically A blockchain or non blockchain asset index and so The classical derivatives are forward futures and options And there are platforms Providing you services for forward futures and options They usually suffer a little bit From these same problems as like an order of basic exchange on the on the blockchain So it's just difficult to realize them in an in an efficient way And the difficult to get enough liquidity into the protocol But there are like Two pretty blockchain specific ways of of realizing like decentralized, you know what derivatives One is the so-called synthetic assets That's like synthetics protocol and synthetic protocols works that way that you get it works like like die Like like maker though Like the collateral based algorithmic stablecoin You get something which is a collateral that you have to lock in your smart contract And then practically there's gonna be a new token issued which reflects Something which is an underlying asset and that underlying asset Is is monitored by an external or equal So just as basically as as die and and was US dollar But basically here the your underlying asset can be anything so it can be like like a complex index of of anything It can be even a token or or price feed of of some Some some totally external and non-blockchain tokens as well And of course it works that way as well. There's usually an over collateralization ratio And if it gets like too small then your position And then There's like for instance the synthetics There's even a synthetic six change as well Which works pretty in a pretty efficient way for some reasons And just one more thing which is usually regarded as a decentralized derivative. We got something as wrapped tokens So like if you want to provide one token on the blockchain Like you want to have bitcoin on the on ethereal Then we have wrapped token that works that work that way that you lock somehow your token in one chain And there's gonna be a wrapped bitcoin or a wrapped token issued in another chain So it's again, it's a big topic like decentralized derivatives And actually there are many more such big topics like like the classical ones liquidity mining yield forming. They are Strategies for getting more tokens more And then there's way for decentralized insurance for instance in terms of like ensuring your defined defined protocols And somehow are defaulting like risk And I get my last slide. So again, we covered pretty much Up to this protocol layer and as I mentioned the application and aggregation layers Are not so well developed at the moment, but they are coming. So basically in the future There might be like bigger focus on them So I get just one slide on the application and aggregation layer So so presentation sorry our presentation and aggregation layer. So presentation layer is the is the user interface For the first one, it's like web-free user interface. But what's like more typical we get like specialized defied dashboards So for instance You can imagine if you just This is like just for instance kind of Defied dashboard So if you just use You can imagine that basically maintaining all of your thousand defied protocols Or tokens or anything any parameters can be complex So for this reason, there are providers trying to give you basically solutions having a good overview on On different defied things So like here you get like on over you want on defied NFTs and dough protocols and you can have some swap and reach and so on and so on So these solutions can be really helpful. How healthy helpful and then they might come on the long run more And what is aggregation At least or last but not least aggregations are basically protocols that work on a top level of your device stack So somewhere here, that's the aggregation layer and the idea is basically that aggregation try to combine several different defied protocols Not just from the application layer or presentation layer, but from the protocol layer directly So one typical example is like this this first or one inch or first inch It looks that way. That's basically an exchange A similar token exchange than that we saw basically Previously, but the but the underlying idea that that the that it doesn't have like like like order book order book or kind of a liquidity pools But it integrates a lot of other different exchanges and what's happening here. I just can't connect because perhaps It's working just with the liability room and i'm not in by but anyway So what's happening here that if I just want to swap the token I get the price from like 60 different Further exchanges and then basically if I just each or say exchange here Then it delegates practically further my my call or my exchange to to the best To the best decentralized exchange that is integrated here So that's a pretty interesting aggregation level protocol So I would say that's it I just managed to finish So I hope you you didn't get bored and I would say now I'm ready and I will try to answer all of the questions That might that might come in So I would say let me just take a look on the chat In the meantime, you can just stop me if you have any question writes right now But what I'm gonna do is that I'm just reading a chat. I'm just browsing it and I will try to Find like, you know technical questions or questions that I can basically answer So that's hello. Hello everybody at the end. Uh, so that's gonna be recording On youtube, uh, you can find on uh on hyper ledger foundation foundation YouTube channel, uh, and then the slides give you the best Availability as well. Um, so yeah, um, so just just I don't know just go ahead and and ask your questions If I may daniel it's miles Yeah, sure. Absolutely Yes, I'd raise my hand there. Uh, yes, just a quick one I'd ask the number of questions, but the one kind of top of my mind is uh, notarose protocol versus hyper ledger So I'm ramping up in the space and I'm just trying to understand pros and cons differences Uh, are you familiar with notarose vis-a-vis hyper ledger and can you give a quick overview? I'm I'm not sure if I know the protocol Oh, it's uh, it's such a rapidly expanding field Every week there's something new Thank you. Okay Yeah, so uh anybody just want to uh Once to have a question just just go ahead and mute yourself and ask uh the meantime I'm just I'm just browsing the questions. Uh, and then And then just try to pick up, uh, which is like like Um, yeah, there's like yeah, there are like like many many So the point is basically uh, so defy is is pretty much booming I would say and there are many solutions, uh many, uh, like ideas and a lot of innovation I don't know all of these innovations. Honestly, I just know the the major categories and some some like, uh, Some some specific, uh You know, I mean I'm in protocols and I would say so these protocols that I that I showed you Pretty much on a on a basic level. So I would say like, you know, I mean These are the old fashioned protocols If I if I if I dare say it, I'm sure there's gonna be a new ones practically on a daily basis Like somebody mentioned here radix or redix dlt Uh, I I saw them once actually it's an innovative platform just for defy applications as well So I uh, I just see So how to how to start a career in defy that's a very good question Basically, I I mostly do like programming, you know, I mean just so it is my contract But uh, or sometimes teaching, uh Yeah, decentralized Yes, so the pdf will be available as well. Uh tokenization, I think, uh Yeah, probably my voice was Again, I'm just I'm just checking the chat. Uh, so if if you have some some questions Live just uh, please feel feel free to to unmute yourself and then and then just just ask the questions Anyway, it's just just like to appreciate your your you know, your presentation was great. And thank you so much I have a question regarding the incentive mechanism Yeah, yeah, you know, uh For incentive mechanism For incentive mechanism, we know that uh In and defy we we need to design a token or using the the the The the tokens or the currencies that already Deployed on the blockchain for example ethereum or But the main question is Is there any other incentive mechanism? To create blockchain efficiently because in some cases there is there are a lot of fluctuations on the token market and Actually in some cases there is no resources that You know that uh, you know Support the support the token. So I would like to know if there is anything that Can change the incentive mechanism and blockchain in the future? For example, if you want to use it in blockchain and supply chain or other area or maybe defy system Can we use any other incentive mechanism? Because we all use Token or tokenize the incentive mechanism. Thank you Yeah, uh, so good question, uh So, uh Yeah, incentive mechanism is a is a big topic And the the innovative part here is to use like tokens I mean, you can have the classical incentive mechanism as well.  Uh, that's that's one classical incentive mechanism Another classical incentive mechanism is like gamification In gamification, you don't pay for anybody anything. It's just, you know, I mean, they just get some some points or Some veggies or something Which are tokens for the first time and they just like to do something or contribute something Um, so these are the two classical ways of of incentive mechanism But the point is actually and and that's icing the one of the most innovative part of blockchain That in blockchain plot occurs, uh, these these fields are are are combined basically So it means you can get token as intensive incentive and then, um, it's a question is What's what's this token for? Uh, and there are there are many ideas. So like, uh, if you have like a decent liquidity pool based decentralized exchange You just you just set up some liquidity. You might as well say, hey, uh, you get some transaction fee in in like Ether or bitcoin. So it's almost as you as you get like money Uh for your contribution Uh, the other way is saying is like, um, we don't we don't give give give you like a tradeable token But what we give you is like a batch, you know, I mean you're the you're the hero of the protocol It can be done again with a with a with a with a with a token, for instance That can be like a non-tradable NFT token and you can get this, you know, after after a year of contribution You can get like the Hero of the protocol badge. Uh, it's more like a more like a gamification direction And what's what's perhaps interesting you can you can have like something between the two Uh, so a lot of protocol has like, you know, I mean I have like, uh, liquidity mining or yield forming solutions. So so they just provide the token rewarding people Uh, we don't even saying, uh, what this token would for or what's what's what's what we what you can do with this token And people just contribute.  So it works as well and people just getting having like like tokens Without even having the possibility to to exchange them But basically, I mean some of these incentive Incessive solutions go further So they might issue some tokens for the first round But as a second round these tokens might have some Some meaning and it can happen that these tokens can be traded Basically and as soon as they can be traded as well There's a huge usage of the token. So practically if there's a liquidity as well, then then people will eventually Probably just just exchange for money. But again, I mean, I mean, that's the spectrum I would say one side of the spectrum Is like giving something which is a cryptocurrency Which is as almost as money The second one is is like giving a non-tradable NFT Which works as a as a batch and works for the same reasons as gamification And and between these two two edges of the spectrum You can have anything so any combination any any idea Can be used which one works better? I have no idea But I mean the technology provides all the possibilities Yeah, I really appreciate it. Just one just my my last question About the regular future of regularization About the you know, thank you. Yeah, I can't I can't really answer like regulation questions. It's like For instance, I just so I'm not a not a not a legal guy I have some I have a lot of technical and some economical background, but I don't have like legal background I think like I saw like the m. I see a regular regulation from the from the european commission It's like a couple of months ago The guys were still not in like NFT. So there there was not there was no like NFT basically in the in the proposition um And in the meantime, there are some ideas that you know, I mean all of the all of the non-custodial We actually Registered which makes the whole defi space impossible and so on and so on. So so I don't know our regulation is Is very difficult and I'm not an expert in that in that I would I would say that I mean I mean even if the regulation will be pretty negative these These innovative ideas will survive somehow even if not Not exactly one by one or not such uh with with such platforms that you see but I mean Considering to the key ideas is is is not a waste of time. Thank you. Um, Daniel Yeah, I Yeah, I have a quick question on Um crypto back by fiat, right? So in in the case of like this table coin itself being burned. Does that mean like the reserve or the amount that is stored in the bank accounts will also need to be reduced and how do uh currency like tether Uh maintain is pegging By fiat maybe can you share a little bit on that? Thank you So I don't know the But the idea is the following solar Uh, and then you have like two two directions one You want to You want to exchange one dollar to one tether? For instance or was DC with DT if I'm not mistaken But you want to exchange one one dollar to one token? That means I mean the in a very easy way again, it's not what that does one by one explicitly about The the scheme is the following you want to exchange one dollar to one token then you pay this one dollar to the bank and On the token on the blockchain one token is issued That's that's one way of exchanging The other way of exchanging if you want to exchange back It means that basically you you just burn Or not burn, but like burning can be done in a way that you transfer this token to a specific address That belongs to the bank and on that address that token will be will be burned And as soon as the bank gets your token back from you and it's burned by the bank then practically Your one dollar will be will be transferred back to your to your account So that's the that's the original idea of the scheme. Of course, it's like a little bit like complicated By tether, but I'm not quite sure if I can summarize more in details at the moment Hi, Daniel. Thank you As a follow-up to this question how long the typical mint and Redeem process stake in other words, how long does it take to convert it be out? um to a stable point and uh back with a typical anchor stable provider It's not instant that isn't right Is it the day or now or What's the So I'm not like, you know, cryptocurrency trader as I mentioned I'm a software architect programming on blockchain. So what I did like I bought like stable cryptocurrency From from bitcoin atm There are a couple of bitcoin atms like around me.  It's pretty pretty simple. I just paid the money and practically I I get better token. So that's all But I mean, I can imagine if you want to like, you know, like trade one million dollar, uh, it might take more time Okay I have a I have a couple of questions. Um So the first one first one being Hyperledge of fabric has a couple of different service offerings, right? Um, so is there any In particular that you would recommend Um looking more into specifically for defi. That's number one and number two is Um, I personally and maybe I just haven't dug deep enough, but I personally haven't seen anything Um, like an example of something built on hyperledge of fabric So I've I've written a couple, you know, some chain code in hyper hyperledge of fabric and able to execute the Those chain codes to do what they need to do, but I haven't seen any examples of Like let's say you create a token using chain code on hyperledge of fabric um Is there any examples that you that you know of that? show how a user could Use a wallet to actually purchase that token like I haven't seen anything on hyperledge of fabric and I'm sure it exists but Where a wallet is incorporated so that a user can make a purchase on chain um Through a wallet. Yeah um So yeah, I mean, it's it's a little difficult topic. Um this defi in hyperledge Because like so one of the mainstream application hyperledge of fabric is not really meant for defi or not at the moment Uh, if we speak about hyperledge of fabric, I mean fabric itself, uh, that's uh, That's a consortium blockchain on the settlement layer And the and the main idea is uh, you don't use like uh end user wallets In hyperledge of fabric. Uh, what you what you use is like institutional wallets. So basically your notes are running at At different companies And then basically companies having like keys and transacting with the network That was like the original idea of of hyperledge of fabric I think perhaps in the latest version you can do already something which is Which might be similar to an end user wallet But the original idea was with fabric not to use like like end user wallets But yeah, but like using like like institutional wallets basically or something similar And so again, this fabric is mostly the settlement and there's already something on a tokenization level I've I've never seen anything on the protocol level. So I've never seen like fabric exchange or landings or derivatives or anything There's some tokenization if we just take a look on Fabric samples just give me a second That's fabric samples And then you can find here like tokens already Uh, that's like ERC 721 20 11 55 So these are like the basic tokens And one other thing that you find in hyperledger for sure That I know I think there's a hyperledger lab Which is which is kind of uh It's I think it's kind of an abstract tokenization framework. I'm not quite sure if I find it Uh, but there's there's an initiative Uh, in which you can define like Probably this one. This is like a hyperledger fabric token SDK. Uh, you can define tokens in an abstract way Uh, they are running only on fabric for the first run, but you can define these tokens with like a several uh Like like privacy guarantees, uh, or or or perhaps even with like several uh, ways of executing and so on and so on So I would say uh hyperledger is pretty much At the settlements and there are some initiative in the asset layers Uh, I don't know anything Anything above and and hyperledger at the moment is mostly on on consortium ledgers So I don't know really fine initiatives, but again, uh, it might change in the future So these are like the two things. I'm just I'm just uh Writing in the chat So this is like token in the dk and this is like fabric samples key So let me just cover it with like more questions I'm just browsing the chat. Uh, but if you have like any questions, you know, I'm just feel free to To unmute yourself and then just ask coming here Uh, I have one question related to ethereum 2.0. So with the ethereum 2.0 and the beacon chain Going to release and the upgrades are almost there. So, um, what impact do you see in the d5? and What changes do you um for seeing the architecture you shared today? Yeah, so good question. Uh, so what I expect basically from ethereum 2.0 Is that that's gonna be for the first on a settlement layer, uh change so As I know, uh, anything which is running at the moment on ethereum Uh, we'll be running on ethereum in the future as well Uh, what we could expect is that ethereum will be scaled a little bit more So it means there might be a possibility To to run like like something more on a protocol level, uh on the long run. So on a short run, I would say, uh Everything should be running on ethereum. And then perhaps, you know, I mean one of the blocker for for this protocol layer elements Implementing on ethereum. Uh, was that implement ethereum was was not so fast or not fast enough? I mean not scaled enough or Didn't have like enough transactions per second What I would expect that this blocker will be Perhaps will not be just just just disappear But this blocker will be smaller. So perhaps in the future there might be more and more like, uh Further protocol and innovations even on the ethereum network, uh, which Which are which are still did not Implemented due to this scalability reasons. So that's that's what I would expect from from ethereum 2.0 Okay, so let me just browsing if you have like more questions Uh And there's there's a question if there's scholarship, uh at et at hyper ledger as as far as I know there's something as as a university university Perhaps even scholarship, but it doesn't mean like money. It means like like sharing information and providing something There's there's truly something which is a hyper ledger university program But I would say uh probably david can answer it Yeah, I was just dropping a link in the chat. There is an annual paid mentorship program So if you want to get some support And both the financial sense as well as just the the learning sense the the mentorship program pairs you with somebody in the community involved in the project who will help you get up to speed on Using and contributing to that project. So just be aware if that's something you're interested in that takes place Again, it takes place every year and the applications open up early next year So if you look at that link that on the wiki that just dropped We're wrapping up this year's mentorship program right now But next year we'll run a new one and people are certainly encouraged to apply for that Uh There's there's one one question uh At the at the end almost uh, which which might be interesting and and yeah It's it's a question of cbdc, uh, which might seem to be actually exactly the opposite direction to defy And then it's the open question. Uh, what cbdc can done done Uh What cbdc can do with defy If if there's a possibility at all And then I would say I mean The these two words are going to two separate directions at the moment So, you know, I mean the central banks Say like no for the for defy for the first time Defy is still a little bit like Like a cryptocurrency or a like a ketone artist were so they don't like central bankers But there are already some some brainstorming as well of that combine these two things Uh, and then one one idea is that like like use cbdc instead of stable crypto cryptocurrencies So instead of stable tokens or stable cryptocurrencies One one again, it's a very innovative idea. So it's not a mainstream idea But one idea would be use cbdc Because I mean as you see like the the taro sd crash These stable cryptocurrencies might not be stable enough That can actually bring down the whole whole segment Which is not so much practical. So if you use cbdc instead The full defy space would be more stable and probably more regulated So it can be actually a point of of regulation as well That's one very innovative way of brainstorm brainstorming on the cbdc and defy combination. The second very innovative way is is metaverse If we say like metaverse, we don't usually mean just by the virtual reality stuff But what we usually mean is that metaverse Should be based on a very very extensive tokenization And and even defy So an open question is what should be actually the payment in metaverse And it's probably not credit card payment, but kind of a tokenized Fiat money perhaps and that might be against cbdc as well So again, these are two different words at the moment, but there are some interesting Points how they can be combined So I think basically I finish finished pretty much the questions In the chat So if you have any further question, then let me just let me let me just know let me just go ahead and and ask the question If there's no more question then basically I would like to thank you very much for your attention I it was taking a little bit longer than I expected But it is usually the case if I present the topic first time So again, thank you very much for the for the for the for the attention and then yeah, just see you next time Thanks Daniel. Thanks everyone. Thank you Daniel. Thank you very much Daniel. Thank you so much Daniel Thank you Daniel