9 Lessons DeFi Companies Would Be Wise To Learn From CeFi Companies

cointelegraph.com:

Pioneers and insiders of the decentralized finance industry strongly believe they are the vanguard of a new and better way to handle financial transactions. Still, it doesn’t mean they have nothing to learn from centralized finance companies. While CeFi has the advantage of more familiarity and a long history, those aren’t the only reasons it can still outperform DeFi when it comes to attracting new users.

It’s not a disservice (or disloyalty) to DeFi for its leaders to look closely at what users rely on and value in CeFi services. Below, nine members of Cointelegraph Innovation Circle discuss lessons DeFi companies would be wise to learn from CeFi companies, and how doing so could boost their chances of success.

The recent crypto carnage has largely been within CeFi and has fractured years of trust CeFi companies built with users — trust that must now be repaired. Though DeFi’s structure is inherently immune to some of CeFi’s missteps, DeFi companies should not assume user trust upon inception. Instead, they must prove they deserve it and operate with a mindset that it must always be earned. – Hugo Lee, Haru Invest

CeFi has shown confidence and execution when it comes to commercialization, where the user experience and marketing are priorities. DeFi could learn from this. Adopting more standardization, simplicity and education around all aspects of the industry could attract more new user onboarding and understanding. Collecting customer information (Know Your Customer), for example, is likely to become mandatory in the near future. – Ilias Salvatore, Flooz XYZ

DeFi companies could learn from CeFi companies about the importance of user experience and interface design. CeFi companies have invested heavily in creating