Genesis CEO Michael Moro Thinks Mistakes Keep Institutions Away From Defi – Defi Bitcoin News – Bitcoin News

Genesis CEO Michael Moro Thinks Mistakes Keep Institutions Away From Defi – Defi Bitcoin News – Bitcoin News


CEO of trading firm Genesis, Michael Moro, stated that according to his views the decentralized finance (defi) space is still too risky for institutions to step in. Moro explained that there have been some important mistakes made by high-profile defi protocols that are putting customers’ funds at risk. This is why the space is being still dominated by retail investors, that have more lax risk management policies.

Defi Errors Scare Away Institutions

Michael Moro, CEO of Genesis, one of the biggest cryptocurrency trading firms in the space, stated his opinion about why defi has failed to entice institutions to invest in these protocols. According to his view, the space is still too risky and this is evidenced by some recent mistakes high-profile entities have made. In an interview with Insider, Moro stated:

Errors and mistakes that you’ve seen certainly make institutions shy from doing anything in size, in any particular platform.

Hedge funds and proprietary trading firms would be very interested in using some of these protocols for their benefit, but these institutions are not willing to suffer from big mistakes that could cost them millions of dollars. Moro stressed that retail investors were at risk, stating:

The unfortunate part is that, for now, because it’s consumers, it’s retail guys that are punting around on defi today, it’ll be they to lose their money.

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