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Author: Admin | 2025-04-28
Polkadot, and Chainlink. There are also numerous ‘automated market makers and decentralised exchanges’ (Mohan 2022), some even for cryptocurrency trading (Fang et al. 2022). The question is, do the new regulations ‘provide legal certainty’ (Linden and Shirazi 2023)?The proper form of decentralised finance will always be based on private investment. Still, solid regulations and guidance also support centralisation in financial instruments. Before transferring traditional instruments into a new system, we must analyse ‘the return–volume relationship in decentralised finance’ (Chu et al.2023). Although decentralised banking is not an entirely accepted model yet, even in the present adoption stage, digital banks ‘can learn from decentralised finance’ (Yavin and Reardon 2021). The European Union has recently advanced into new Blockchain regulations based on the ‘Regulation on Market in Crypto-Assets' and 'Decentralised Finance—MiCA’ (Maia and Vieira dos Santos 2021). The United States has also produced new regulations (Reserve and “Central Bank Digital Currency (CBDC)” 2022; Hansen and Delak 2022; Barrett et al. 2017), and the United Kingdom is slowly catching up (HMT 2023). However, the countries that can benefit the most from new financial instruments are not the EU, the US, and the UK.Developing African countries have been very flexible in adopting Blockchain projects, as recorded in the recent study on ‘Decentralised Finance and Cryptocurrency Activity in Africa’ (Ozili 2022). The values from Blockchain projects and new Metaverses do not have to be purely financial. For example, Blockchain projects have been ‘empowering school-based management through decentralised financial control’ since 2008 (Marishane and Botha 2008).
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