Wall Street Is Moving Onchain

Summary

Joshua Riezman discusses the Clarity Act's progress, stablecoin regulation, and the convergence of TradFi and DeFi. He highlights the growth of stablecoins, tokenized treasuries, and private credit, and predicts that most assets will eventually be tokenized onchain. The conversation focuses on regulatory clarity and the increasing adoption of blockchain technology by traditional financial institutions.

• Clarity Act is held up in the Senate over issues like stablecoin yield and ethics, with a sub-50% chance of passing this session.
• Bipartisan engagement on crypto legislation is strong, but compromise remains difficult.
• Stablecoins have reached ~$300B and are expected to grow significantly.
• Tokenized treasuries and private credit are also growing rapidly.
• Traditional finance firms like BlackRock and Apollo are moving onchain, using blockchain for settlement and clearing.
• Tokenization of equities will reduce intermediaries and increase investor yield from stock lending.
• GSR is positioning to help firms tokenize assets and provide secondary liquidity.
• The overall trend is toward more onchain wealth and a broader onchain economy.