Decentralized finance is processing over $50 billion in transactions monthly—without a single bank involved. That's not theoretical anymore. It's reshaping how money moves globally.
Traditional finance relies on intermediaries at every step: banks hold your deposits, brokers execute trades, clearinghouses settle transactions. Each one takes a cut, adds delays, and creates barriers to access. DeFi eliminates the middlemen entirely using blockchain technology, smart contracts, and peer-to-peer networks. The promise? Lower costs, instant settlement, financial services for the 1.4 billion unbanked people worldwide, and 24/7 markets that never close.
In this episode, Professor Ravi Sarathy breaks down the fundamentals of decentralized finance—how it works, what it enables, and why $300 billion in stablecoins are already circulating in the ecosystem. This is the foundation for understanding a financial system that's being rebuilt from the ground up.
You'll discover: → How Fintech evolved into DeFi and the shift to true disintermediation → Smart contracts on Ethereum: automated execution without intermediaries → Real-world applications from digital wallets to decentralized exchanges → Why stablecoins matter: $300 billion tokenizing the US dollar → Cross-border payments without 6% fees and week-long delays → Yield farming, automated lending, and algorithmic portfolio management → How blockchain data enables creditworthiness for the unbanked → Agentic AI + DeFi: the rise of autonomous financial agents → What automated market makers and liquidity pools actually do
Whether you're a business leader evaluating blockchain for payments, an investor trying to understand crypto infrastructure, or simply curious how finance is being reimagined, this episode gives you the essential framework.
RESOURCES: Enterprise Strategy for Blockchain (MIT Press): https://mitpress.mit.edu D'Amore-McKim School of Business: https://damore-mckim.northeastern.edu
ABOUT THE HOST: Ravi Sarathy is a Professor of International Business and Strategy at Northeastern University's D'Amore-McKim School of Business. He is the author of "Enterprise Strategy for Blockchain" from MIT Press and an expert in global strategy, emerging technologies, and digital transformation. A self-described crypto enthusiast, he follows the industry closely and brings academic rigor to understanding blockchain's business implications.
CHAPTERS: 0:00 - Introduction: Not Financial Advice 0:47 - What is Fintech? Finance Meets Technology 1:40 - The Four Core Objectives of Fintech 2:13 - Decentralized Finance (DeFi) Explained 3:06 - Key Features: Smart Contracts & Automation 4:21 - DeFi Applications: From Payments to Insurance 6:36 - Cross-Border Finance Without Banks 7:23 - Big Data & Creditworthiness Assessment 8:44 - Use Cases: Digital Wallets & Security 9:39 - Stablecoins: $300 Billion and Growing 10:34 - Automated Lending & Liquidation 11:28 - Yield Farming: Building Your Interest Ladder 12:43 - Decentralized Exchanges (DEXs) Explained 13:53 - Automated Market Making 14:48 - Portfolio Rebalancing & Agentic AI 15:46 - What's Next: Risks, Regulation & Disruption
ABOUT THE SHOW: International Business Today explores critical issues in global business with top academic experts and thought leaders. Hosted by professors from Northeastern University's D'Amore-McKim School of Business.
SUBSCRIBE: YouTube: https://www.youtube.com/@InternationalBusinessToday Spotify: https://open.spotify.com/show/2y21XexVdXEiTBdZQIuSyf Apple Podcasts: https://podcasts.apple.com/sg/podcast/international-business-today/id1665009512
DISCLAIMER: This content is for educational purposes only and does not constitute financial or investment advice. Cryptocurrency investments are volatile and carry significant risk. Please consult a qualified financial advisor before making any investment decisions.
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