The God Fish Talks About the Early History of Bitcoin, Decentralized Finance, NFT and Industry Development

Shen Yu is the co-founder and CEO of Cobo. Below are the key points from his conversation with Colin Wu, the founder of Wu Says Blockchain:

Bitcoin Early History

• In 2011, I accidentally saw news about Bitcoin in the university library and was deeply attracted by the white paper.
• The earliest Bitcoin community in China formed around QQ groups, including groups like "Peace Hotel".
• In the early days, there were mainly two types of people: crypto geeks and miners with a large number of idle graphics cards.
• Exchanges with Chinese backgrounds began to emerge after 2013.

Decentralized Finance Development

• Started to get involved in Decentralized Finance from 2018 to 2019, but it had not yet been widely applied at that time.
• The years 2020-2021 marked a turning point for Decentralized Finance, with liquidity mining rising, represented by Compound.
• Decentralized Finance allows the divine fish to transition from physical world miners to on-chain DeFi players.
• Optimistic about the future of Decentralized Finance, gradually opening internal tools for everyone to use.

NFT Market

• The NFT market is decentralized, with a large number of fragmented communities, making it easy to find a sense of identity.
• The entry barrier is low, attracting many young people
• Although currently losing money, I am optimistic about the fresh blood that NFTs will bring to the industry.
• NFTs can carry non-standardized assets from the real world, and there is still great potential for development in the future.

Lessons Learned from the Industry in 2022

• The essence is a question of human nature, many decisions are no longer rational.
• Users overly trust centralized institutions, relinquishing the rights granted by blockchain.
• One should trust in mathematics and the underlying technical principles, rather than human nature.
• MPC and other keyless technologies are rapidly developing, helping to improve industry transparency.

Outlook for the Future

• The macro environment is improving, and Bitcoin is seen as a safe-haven asset.
• Although the halving has little economic significance, it has a good narrative logic.
• It is expected that there will be another halving market from Q4 this year to next year.

The Development Direction of Cobo

• Provide solutions around private key security and risk management
• Provide various products such as pure centralized custody, on-chain multi-signature, and MPC co-management.
• The goal is to allow users to enter the blockchain world more safely and easily.