Recent market warnings issued by US banks have sparked considerable discussion—if political forces pressure independent financial institutions, the global markets could face severe shocks. Behind this warning lies a deeper issue worth contemplating.



What exactly are the fatal weaknesses of the traditional financial system? In simple terms, it’s over-reliance on "human judgment" and "institutional fairness." No matter how perfect the rules are, ultimately it still depends on the integrity of those in power. Once this trust chain is broken, the entire order built on customary conventions can collapse in an instant.

Looking at the experience in the crypto space, the logic is actually the same—we have endured tragedies like exchange thefts and oracle data tampering, each time caused by a problem with a centralized node. These lessons all point to the same conclusion: the true way to financial security is not to find more "trustworthy" institutions or individuals, but to build a system based on code execution and consensus maintenance—making single-point control physically impossible.

When policy uncertainty increases, this approach becomes especially important. Decentralization is not some profound theory; fundamentally, it’s about using technology to eliminate dependence on a single authority. This may very well be the core logic of future financial defense systems.
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GateUser-c802f0e8vip
· 5h ago
This is very true, but to be honest, the traditional financial system isn't completely hopeless either. The crypto space also needs to reflect. We've definitely fallen into pitfalls with centralized risks, but we're still repeating the same mistakes now. Can code solve the problem? The prerequisite is that someone writes bug-free code, which is itself a joke.
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GasFeePhobiavip
· 5h ago
Well said, traditional finance is like that; in the end, it all depends on integrity, which is too fragile.
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RektButSmilingvip
· 5h ago
Well said, but I still think most people don't realize how fragile they are. The traditional financial system is just a paper tiger; it collapses in a second when something really happens. To be honest, the crypto world isn't much better; it's just the same old story with a different coat.
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LightningAllInHerovip
· 5h ago
Well said, the trust game of traditional finance should have ended long ago. It really collapses once politics get involved. What do you call an independent institution then?
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OnlyOnMainnetvip
· 5h ago
That's correct, but the crypto circle hasn't completely solved this issue either. Right now, many VC-controlled chains are no different from centralized exchanges; they've just changed their names.
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down_only_larryvip
· 6h ago
Wow, you're so right. Traditional finance relies on trust, and one corrupt official can cause a collapse.
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