TechFlow reports, on July 16, ARK Invest challenged a16z's view that traditional finance will prioritize permissioned blockchains over Decentralized Finance, arguing that institutions will increasingly adopt public blockchain infrastructure in the future rather than being limited to closed permissioned networks.
Previously, a16z stated in a post that traditional financial institutions are not merging with Decentralized Finance, but are selectively adopting blockchain capabilities adaptable to their control, compliance, and operational requirements, while excluding core DeFi features such as open access, anonymity, and trustless execution. The article noted that the main drivers for institutional blockchain adoption lie in reducing costs, improving settlement efficiency, expanding distribution capabilities, and strengthening customer relationships; therefore, it is more likely to drive the rise of a "programmable financial infrastructure" built on blockchain rails but optimized for institutional constraints, rather than directly adopting the existing DeFi system.
