Will ‘Decentralized Finance’ Be the Next Disruptive Technology?
Kanebridge News
    HOUSE MEDIAN ASKING PRICES AND WEEKLY CHANGE     Sydney $1,677,085 (-0.93%)       Melbourne $1,028,394 (+0.20%)       Brisbane $1,078,151 (+0.22%)       Adelaide $982,804 (+0.73%)       Perth $947,007 (+0.76%)       Hobart $769,694 (+0.31%)       Darwin $778,577 (+0.74%)       Canberra $976,606 (-1.97%)       National $1,098,248 (-0.36%)                UNIT MEDIAN ASKING PRICES AND WEEKLY CHANGE     Sydney $770,018 (+0.09%)       Melbourne $498,343 (+0.14%)       Brisbane $674,039 (+1.49%)       Adelaide $497,663 (-0.64%)       Perth $533,094 (+0.17%)       Hobart $533,129 (-0.01%)       Darwin $387,696 (+0.22%)       Canberra $494,947 (+1.38%)       National $571,202 (+0.42%)                HOUSES FOR SALE AND WEEKLY CHANGE     Sydney 12,026 (-343)       Melbourne 13,686 (-445)       Brisbane 8,305 (-28)       Adelaide 2,909 (-44)       Perth 7,828 (-177)       Hobart 1,264 (-5)       Darwin 160 (-2)       Canberra 1,151 (-20)       National 47,329 (-1,064)                UNITS FOR SALE AND WEEKLY CHANGE     Sydney 9,357 (-106)       Melbourne 7,800 (-121)       Brisbane 1,675 (-19)       Adelaide 458 (+11)       Perth 1,675 (+20)       Hobart 227 (-16)       Darwin 303 (+3)       Canberra 1,194 (+9)       National 22,689 (-219)                HOUSE MEDIAN ASKING RENTS AND WEEKLY CHANGE     Sydney $800 ($0)       Melbourne $590 ($0)       Brisbane $650 ($0)       Adelaide $630 (-$10)       Perth $700 ($0)       Hobart $585 (+$5)       Darwin $700 (-$30)       Canberra $700 ($0)       National $676 (-$5)                UNIT MEDIAN ASKING RENTS AND WEEKLY CHANGE     Sydney $750 ($0)       Melbourne $590 (-$5)       Brisbane $645 (-$5)       Adelaide $540 (+$20)       Perth $650 ($0)       Hobart $500 ($0)       Darwin $595 (-$20)       Canberra $575 (-$5)       National $614 (-$2)                HOUSES FOR RENT AND WEEKLY CHANGE     Sydney 5,747 (+44)       Melbourne 7,595 (-48)       Brisbane 3,812 (-42)       Adelaide 1,418 (+23)       Perth 2,254 (+18)       Hobart 203 (-5)       Darwin 83 (+6)       Canberra 481 (-21)       National 21,593 (-25)                UNITS FOR RENT AND WEEKLY CHANGE     Sydney 7,827 (+22)       Melbourne 5,470 (+50)       Brisbane 1,798 (-46)       Adelaide 388 (+11)       Perth 738 (-5)       Hobart 101 (+13)       Darwin 101 (-9)       Canberra 561 (-1)       National 16,984 (+35)                HOUSE ANNUAL GROSS YIELDS AND TREND       Sydney 2.48% (↑)        Melbourne 2.98% (↓)       Brisbane 3.13% (↓)       Adelaide 3.33% (↓)       Perth 3.84% (↓)     Hobart 3.95% (↑)        Darwin 4.68% (↓)     Canberra 3.73% (↑)        National 3.20% (↓)            UNIT ANNUAL GROSS YIELDS AND TREND         Sydney 5.06% (↓)       Melbourne 6.16% (↓)       Brisbane 4.98% (↓)     Adelaide 5.64% (↑)        Perth 6.34% (↓)     Hobart 4.88% (↑)        Darwin 7.98% (↓)       Canberra 6.04% (↓)       National 5.59% (↓)            HOUSE RENTAL VACANCY RATES AND TREND       Sydney 2.0% (↑)      Melbourne 1.9% (↑)      Brisbane 1.4% (↑)      Adelaide 1.3% (↑)      Perth 1.2% (↑)      Hobart 1.0% (↑)      Darwin 1.6% (↑)      Canberra 2.7% (↑)      National 1.7% (↑)             UNIT RENTAL VACANCY RATES AND TREND       Sydney 2.4% (↑)      Melbourne 3.8% (↑)      Brisbane 2.0% (↑)      Adelaide 1.1% (↑)      Perth 0.9% (↑)      Hobart 1.4% (↑)      Darwin 2.8% (↑)      Canberra 2.9% (↑)      National 2.2% (↑)             AVERAGE DAYS TO SELL HOUSES AND TREND       Sydney 29.8 (↑)      Melbourne 29.2 (↑)        Brisbane 33.4 (↓)     Adelaide 28.1 (↑)      Perth 38.7 (↑)      Hobart 31.9 (↑)      Darwin 28.8 (↑)        Canberra 30.7 (↓)     National 31.3 (↑)             AVERAGE DAYS TO SELL UNITS AND TREND       Sydney 28.5 (↑)      Melbourne 29.8 (↑)        Brisbane 31.8 (↓)       Adelaide 25.9 (↓)       Perth 39.2 (↓)     Hobart 42.5 (↑)      Darwin 43.9 (↑)      Canberra 38.8 (↑)      National 35.0 (↑)            
Share Button

Will ‘Decentralized Finance’ Be the Next Disruptive Technology?

The International Monetary Fund’s (IMF) latest Global Financial Stability Report highlights myriad risks for the global financial system.

By TOM TAULLI
Wed, Jun 29, 2022 1:42pmGrey Clock 3 min

The International Monetary Fund’s (IMF) latest Global Financial Stability Report highlights myriad risks for the global financial system. They include the war in Ukraine, high debt, and soaring inflation.

But the report also warned about the impact of decentralized finance, or DeFi, an emerging set of financial services applications that are based on blockchain and other crypto technologies and don’t involve banks other traditional financial intermediaries

Citing possible systemic risk, the IMF wants governments to impose regulations because, the report says, DeFi results in the “buildup of leverage, and is particularly vulnerable to market, liquidity, and cyber risks.”

DeFi may not be a mainstream vehicle yet, but that doesn’t mean financial advisors don’t need to know about it.

What is DeFi?

It’s a kind of financial application that uses “smart contracts,” to operate on a blockchain platform, usually Ethereum. These software programs allow for fully automated, peer-to-peer financial transactions without intermediaries like banks or brokers, which generally means faster settlements of trades.

“With DeFi, users are able to perform most functions that a bank can,” says Jeremy Almond, founder and CEO of Paystand, a B2B payments platform. “This includes earning interest, borrowing, lending, buying insurance, trading derivatives, and trading assets.”

Supporters of DeFi say it offers the potential to democratize financial services for the unbanked. This is a key reason the Federal Reserve is looking at creating a digital currency.

The world currently has around 1.7 billion people who are unbanked, according to Yubo Ruan, founder and CEO of DeFi provider Parallel Finance. “Some of the reasons include a lack of government-issued IDs, problems with credit history, restrictive bank requirements, or a lack of banking infrastructure within a country.”

How easy is it to use?

It can actually be cumbersome. You need several applications to accomplish what may seem like routine transactions if done at a bank, and the jargon and concepts can get complicated.

“A combination of highly technical requirements, high fees, and confusing user interfaces are putting off potential users,” says Jackie Bona, CEO of Valora, a mobile crypto wallet. “This is making it difficult for people to get started in DeFi, scaring away those who need these apps the most.”

What are the risks?

According to Archie Ravishankar, CEO and founder of mobile banking app Cogni: “Regular consumers in this space lack the regulatory protections they’re accustomed to in traditional finance.” So if you lose money, you have no consumer protection, such as the Federal Deposit Insurance Corp. True, you could bring a lawsuit, but the target DeFi organization may be an offshore entity.

Another issue is volatility. Just look at so-called stablecoins such as Luna. Within a week, its value plunged from $80 to virtually zero, tantamount to a run on the bank.

So should financial advisors suggest clients avoid these applications?

Generally, the answer is yes. DeFi is an emerging category of finance and it can be difficult to perform due diligence on new and decentralized technologies. Even those applications that are backed by venture capitalists have seen breaches.

When it comes to clients, DeFi is for those that have a high tolerance for risk. And if they are interested in investing, they should allocate a small part of their portfolio to it.

Can DeFi disrupt traditional financial services?

Even if it takes only a relatively small portion of the global market, the impact would be substantial.

“DeFi certainly has the potential to disrupt traditional finance across the board, and in some ways it already has—on a small scale so far,” says Liam Kelly, Europe news editor for Decrypt, a cryptocurrency news site. But he adds, “a lot of this hinges on breakthroughs in scalability and cutting reasonable lines between things like centralization and decentralization or opaqueness and transparency. Another possibility is that these technologies simply get absorbed by financial institutions to a point where to the consumer, nothing has changed at your brokerage account, except now on the back end it’s running on Ethereum or another blockchain network.”



MOST POPULAR

Early indications from several big regional real-estate boards suggest March was overall another down month.

Art can transform more than just walls—it shapes mood, evokes memory, and elevates the everyday. Discover how thoughtfully curated interiors can become living expressions of personal meaning and refined luxury, from sculptural furniture to bespoke murals.

Related Stories
Money
8 Home Loans Every Self-Employed Buyer Should Know About
By Stephen Andrianakos 15/04/2025
Money
Shein’s Bargain-App Formula Crumbles Under Trump
By Raffaele Huang & Shen Lu 11/04/2025
Money
Harley-Davidson Seeks New CEO, While Grappling With Sales Slump, Tariffs
By John Keilman 09/04/2025
8 Home Loans Every Self-Employed Buyer Should Know About
By Stephen Andrianakos
Tue, Apr 15, 2025 2 min

For self-employed Australians, navigating the mortgage market can be complex—especially when income documentation doesn’t fit the standard mould. In this guide, Stephen Andrianakos, Director of Red Door Financial Group, outlines eight flexible loan structures designed to support business owners, freelancers, and entrepreneurs.

1. Full-Doc Loan
A full-doc loan is the most straightforward and competitive option for self-employed borrowers with up-to-date tax returns and financials. Lenders assess two years of tax returns, assessment notices, and business financials. This type of loan offers high borrowing capacity, access to features like offset accounts and redraw facilities, and fixed and variable rate choices.

2. Low-Doc Loan
Low-doc loans are designed for borrowers who can’t provide the usual financial documentation, such as those in start-up mode or recently expanded businesses. Instead of full tax returns, lenders accept alternatives like profit and loss statements or accountant’s declarations. While rates may be slightly higher, these loans make finance accessible where banks might otherwise decline.

3. Standard Variable Rate Loan
A standard variable loan moves with the market and offers flexibility in repayments, extra contributions, and redraw options. It’s ideal for borrowers who want to manage repayments actively or pay off their loans faster when income permits. With access to over 40 lenders, brokers can help match borrowers with a variable product suited to their financial strategy.

4. Fixed Rate Loan
A fixed-rate loan offers repayment certainty over a set term—typically one to five years. It’s popular with borrowers seeking predictability, especially in volatile rate environments. While fixed loans offer fewer flexible features, their stability can be valuable for budgeting and cash flow planning.

5. Split Loan
A split loan combines fixed and variable portions, giving borrowers the security of a fixed rate on part of the loan and the flexibility of a variable rate on the other. This structure benefits self-employed clients with irregular income, allowing them to lock in part of their repayment while keeping some funds accessible.

6. Construction Loan
Construction loans release funds in stages aligned with the building process, from the initial slab to completion. These loans suit clients building a new home or undertaking major renovations. Most lenders offer interest-only repayments during construction, switching to principal-and-interest after the build. Managing timelines and approvals is key to a smooth experience.

7. Interest-Only Loan
Interest-only loans allow borrowers to pay just the interest portion of the loan for a set period, preserving cash flow. This structure is often used during growth phases in business or for investment purposes. After the interest-only period, the loan typically converts to principal-and-interest repayments.

8. Offset Home Loan
An offset home loan links your savings account to your mortgage, reducing the interest charged on the loan. For self-employed borrowers with fluctuating income, it’s a valuable tool for managing cash flow while still reducing interest and accelerating loan repayment. The funds remain accessible, offering both flexibility and efficiency.

Red Door Financial Group is a Melbourne-based brokerage firm that offers personalised financial solutions for residential, commercial, and business lending.

MOST POPULAR

Simon Cohen, one of Australia’s top luxury property buyers, discusses the growing appeal of family homes, the rise of technology in high-end properties, and the neighbourhoods to dominate Sydney’s ultra-luxury market this year.

Early indications from several big regional real-estate boards suggest March was overall another down month.

Related Stories
Lifestyle
‘Snow White’ Review: A Disney Princess’s Pointless Return
By Kyle Smith 20/03/2025
Property
Sydney’s Hidden Chateau: Bellevue Hill’s Regal Landmark on the Market
By Kirsten Craze 07/03/2025
Property of the Week
Historic Peppermint Grove Estate Hits the Market with $11m Price Guide
By Kirsten Craze 28/02/2025
0
    Your Cart
    Your cart is emptyReturn to Shop