The entrepreneur and diplomat who founded the Tron blockchain spoke at a roundtable at Philippine Blockchain Week in November 2022. The discussion inevitably turned to the newsmaking collapse of FTX and the broader implications for the public’s perception of crypto.

Sun pointed out that one of the issues at the heart of the FTX fiasco was a lack of transparency between the CEX and its users regarding how user funds were being managed and how FTX handled its reserves. The Tron Founder contrasted this lack of transparency with DeFi, which utilizes smart contracts to execute and transparently log each transaction directly on a chain without the need for involvement from an intermediary.

“One of the reasons we trust DeFi is because most of the information is transparent to customers,” said Sun.

(By Mark Peterson)