Todd pointed me at a great piece about “crypto finance” versus “regular finance” by Bloomberg’s Matt Levine earlier.
I thought he did a good job of nailing the essential contradiction that arises if one tries naively to apply Bitcoin or Ethereum principles directly to traditional finance. He uses the example of an Interest Rate Swap (IRS) and how a fully pre-funded model would kind of defeat the point…
This caught my attention because an IRS was the very first project we ever did on Corda! So it’s something I know a little about… Anyway, I think the key to understanding the mismatch is captured in a post of mine from 2015 about how two revolutions are playing out in parallel.
Anyway… full details over on my Medium page.