Decentralized finance, or DeFi, is an emerging multi-billion dollar industry that is expected to revolutionize the financial industry. Globally, the FinTech Market was valued at US $7301.78 billion in 2020 and is projected to grow at a CAGR of 26.87 percent to 2026. Although the market is still in its early stages, DeFi has seen explosive growth from $2 billion in total locked value in May 2020 to $250 billion in total locked value in November 2021.
DeFi encompasses various financial services such as earning interest, borrowing, lending, purchasing insurance, trading derivatives, trading assets and more on public blockchains. Unlike traditional banking, DeFi is much faster and doesn’t involve a third party or any paperwork. DeFI is similar to crypto as it is a global, peer-to-peer and open to all system.
Prophecy DeFi (CSE:PDFI) is diving into the FinTech market by bringing together technology start-ups in the blockchain and DeFi sectors to fund innovation, elevate industry research and create new business opportunities in a coherent ecosystem.
“Prophecy DeFi, through its operating company, Layer2 Blockchain, provides investors with exposure to the fastest-growing segment of the fastest-growing asset class in the world, and possibly even in history. Cryptocurrencies have gone from zero to $3 trillion in the span of a handful of years, which I believe would probably be the biggest single wealth creation event in human history. And this is the leading edge of that entire ecosystem,” said Prophecy DeFi’s CEO John McMahon.
Prophecy DeFi’s 100 percent owned Layer2 Blockchain is a multi-platform solution that solves the issues of lack of capital and lack of expertise in the cryptocurrency and crypto exchange markets. Layer2 Blockchain is primarily involved in liquidity mining through forming partnerships with and providing liquidity to newly-formed and emerging automated market making (AMM) DeFi pools to earn protocol tokens and absolute returns. Layer2 Blockchain also engages in cross-chain lending and partakes in network staking and validation.
Layer2 Blockchain leverages first-mover advantage as one of the first publicly-listed companies focused on bridging the new Layer Two Decentralized Finance industry with traditional capital markets. Layer2 Blockchain is leading the way in automated market making where cryptocurrencies can be traded all over the globe and has already partnered with exchanges and deployed capital. As a result, Layer2 Blockchain plays a critical role in creating liquidity within emerging DeFi protocols.
In June 2021, the company announced that it became a member of the Blockchain Research Institute. The Blockchain Research Institute has a member community that includes more than 90 world-leading enterprises, governments, associations and technology platforms. The partnership grants Prophecy DeFi access to a research library consisting of more than 100 projects as well as entrance into the blockchain community.
Prophecy DeFi has a track record of strong revenue generation. In November 2021, the company generated yield and capital gains of $2.98 million in 120 days. The significant return comes after Layer2 Blockchain purchased a total of $3.65 million in digital assets and deployed these assets across 11 positions. Layer2 Blockchain generated an annualized rate of return of 492.5 percent from these digital assets in just 90 days.
Prophecy DeFi strongly believes that its Layer2 Blockchain subsidiary has strong potential and scalability as decentralized finance revolutionizes the finance industry and public markets.
The company is led by a highly experienced management team with a history of success in cryptocurrency and shareholder value creation. Prophecy DeFi’s advisors include a co-founder of one of the most successful blockchains, Polygon, which has a current market capitalization of $10 billion.
- Provides investors with exposure to a growing multi-billion dollar segment with a total locked value of over $250 billion
- Layer2 Blockchain has first-mover advantage as one of the first publicly-listed companies focused on bridging the new Layer Two Decentralized Finance industry with traditional capital markets
- Fully-owned Layer2 Blockchain mainly focuses on forming partnerships with and providing liquidity to newly-formed and emerging automated market making (AMM) DeFi pools
- In November 2021, the company generated yield and capital gains of $2.98 million in 120 days after purchasing a total of $3.65 million in digital assets.
Layer2 Blockchain Inc. is a fully-owned subsidiary of Prophecy DeFi, and is one of the first publicly-listed companies focused on bridging the new Layer Two Decentralized Finance industry with traditional capital markets. Layer2 Blockchain is a multi-platform experience that accelerates the development of the Decentralized Finance industry on scalable blockchains by providing early-stage liquidity to the most promising DeFi projects.
Layer2 Blockchain is primarily involved in liquidity mining through forming partnerships with and providing liquidity to newly-formed and emerging automated market making (AMM) DeFi pools to earn protocol tokens and absolute returns. Layer2 Blockchain also engages in cross-chain lending by deploying capital across different blockchain lending pools to capture systematic differences in lending rates.
Layer2 Blockchain is backed by a team consisting of leading experts in the industry who have been in the DeFi industry since its inception.
John A. McMahon - Chief Executive Officer
John McMahon has served as chairman and chief executive officer of Prophecy DeFi since March 2021. He has held many senior banking roles within the investment industry and is currently a managing partner of Thought Launch Capital & Advisory. Before this role, he served as vice chairman and head of investment banking for Mackie Research Capital Corporation. McMahon subsequently served as the managing director of Investment Banking for Industrial Alliance Securities.
Roland Nimmo - Chief Financial Officer
Roland Nimmo serves as the CFO of Prophecy DeFi. He has over 35 years of experience in both public and private companies in Canada and throughout the globe. Nimmo is a Chartered Accountant (CPA) with an Honors Bachelor of Arts in Economics from Queen's University in Kingston. Nimmo was formerly a partner with Arthur Andersen and Deloitte. He has provided financial leadership to some of Canada's most successful organizations including Magna International.
Cameron Day - Vice President
Cameron Day is the vice president of Prophecy DeFi. He is involved in all aspects of the firm’s activities, including analyzing potential investment opportunities, executing transactions and working with portfolio companies to develop and implement value-enhancing initiatives. Cameron was raised in Toronto. He graduated with an Honors Bachelor of Arts in Economics and a Master of Finance from Queen’s University. Day is a CFA level 2 candidate.
Alex Tapscott - Chair of the Advisory Committee
Alex Tapscott is the chairman of Prophecy DeFi’s advisory committee and the managing director of Ninepoint Partners’ digital asset group. In addition, Tapscott is an entrepreneur, author and seasoned capital markets professional. Tapscott is focused on the impact of Bitcoin, blockchain and other digital assets on business and financial markets. Tapscott is the co-author of the critically-acclaimed non-fiction best-seller, Blockchain Revolution, which has been translated into more than 15 languages and has sold more than 500,000 copies worldwide. He is also the editor and co-author of Financial Services Revolution.
Tapscott is sought after worldwide for his expertise by business and government audiences. He has delivered over 200 lectures and executive briefings for global corporations and financial services firms.
His TedX talk, “Blockchain is Eating Wall Street” has been viewed over 750,000 times. Tapscott has also written for The New York Times, Harvard Business Review, The Globe and Mail, National Post and many other publications. In 2017, Tapscott co-founded the Blockchain Research Institute (BRI) which is a global think-tank that investigates blockchain strategies, opportunities and use-cases. Tapscott is also a CFA Charterholder.
Sandeep Nailwal - Advisor
Sandeep Nailwal is an Indian entrepreneur, software developer and co-founder of Polygon. Polygon has quickly become a top 20 ranked protocol in the sector worldwide with a fully diluted valuation of over US$10 billion. Polygon was founded in 2017 to solve the problem of high fees and slow transaction speeds on Ethereum which is the world's second-largest cryptocurrency.
Polygon is a Layer Two blockchain on Ethereum that allows users to build applications on Polygon at a far lower cost than Ethereum. The valuation of Polygon’s native token, Matic, has risen from a market capitalization of less than US$26 million at inception in 2019 to over US$10 billion today. Nailwal is also the founder of India’s Crypto Covid Relief Fund which has raised an incredible US$1 Billion in less than 12 months.
Galia Benartzi - Advisor
Galia Benartzi is the co-founder of Bancor which is the world's first open-source protocol that ensures on-chain liquidity between any blockchain-based asset. More than $2 billion in token conversions have been processed via Bancor. The protocol impacts organizations and people across the globe, from blockchain teams to real-world communities issuing local currencies.
Benartzi is also the inventor of the Automated Market Maker which is now a building block of Decentralized Finance (DeFi). Benartzi was recognized by Forbes and Glamour Magazine as a leading woman in crypto. She has been featured on BloombergTV and CNBC. Benartzi has spoken at the United Nations, TEDx and the Oslo Freedom Forum on monetary theory and innovation. Benartzi previously co-founded Mytopia which is the first social gaming company for smartphones that was acquired by 888 in 2010. She also co-founded Particle Code which is a cross-platform development technology for mobile applications that was acquired by Appcelerator in 2012. She was a venture partner at Peter Thiel's Founder's Fund as well as a founding member of Summit Powder Mountain. Benartzi was also the organizer of Bretton Woods 75 which is a commemoration event evaluating the historic monetary accords.
Peng Zhong - Advisor
Peng Zhong is the CEO of Tendermint. Zhong leads a world-class team that builds applications to improve the usability, accessibility and safety of blockchain for developers and end-users. Tendermint is a core contributor to the Cosmos ecosystem which houses more than 250 blockchain projects and secures over $100B in digital assets. Projects on the Cosmos ecosystem include Binance Chain, Terra, Crypto.com, ThorChain, Osmosis, Kava, Fetch.ai, Injective Protocol, Persistence, Akash, Regen and many more.
Charlie Morris - Director
Charlie Morris is the managing partner of CMCC Global which is an asset manager focused solely on digital assets. Morris co-founded CMCC Global in 2016 and has grown the business to over US$300m in assets under management with offices in Asia and North America. Previously, Morris was a software engineer in Hong Kong focused on iOS app development. Morris was also a technology sector management consultant in London. Morris has acted as an expert adviser on blockchain technology for multinational enterprises. Morris was an Ethereum ICO investor in 2014.
Tim Diamond - Director
Tim Diamond brings over 30 years of entrepreneurial and managerial experience across asset management, real estate, merchant banking and venture investing. Diamond has founded, built and successfully exited several companies. Since 2014, Diamond has been the CEO of Whitehall Apartments Corp. which is a private REIT. Diamonds has served on the boards of numerous publicly listed investment funds during his career. Most recently, Diamond was on the board of Trichome Financial Corp. which is a publicly-listed finance company.