top of page

Financial Information

April 2024

Expenditures

The DEF’s expenditures generally fall into three categories: grants given, internal expenses and operations (employees, rent, insurance, etc.), and external expenses (independent contractors like legal counsel, lobbyists, web development, etc.). The DEF’s expenditures during the month of April 2024 were: $158,427.63 in internal expenses, and $91,720.00 in external expenses

What we worked on and what was happening:

Work of the Month: Summary
2024

March  2024

Expenditures

The DEF’s expenditures generally fall into three categories: grants given, internal expenses and operations (employees, rent, insurance, etc.), and external expenses (independent contractors like legal counsel, lobbyists, web development, etc.). The DEF’s expenditures during the month of Mar 2024 were: $132,976.72 in internal expenses, and $194,488.25 in external expenses.

What we worked on and what was happening:

Work of the Month: Summary

February 2024

Expenditures

The DEF’s expenditures generally fall into three categories: grants given, internal expenses and operations (employees, rent, insurance, etc.), and external expenses (independent contractors like legal counsel, lobbyists, web development, etc.). The DEF’s expenditures during the month of Feb 2024 were: $167,086.57 in internal expenses, and $69,030.77 in external expenses.

What we worked on and what was happening:

Work of the Month: Summary
In February, we also provided an update on our funding: 
Link to funding update

January 2024

Expenditures

The DEF’s expenditures generally fall into three categories: grants given, internal expenses and operations (employees, rent, insurance, etc.), and external expenses (independent contractors like legal counsel, lobbyists, web development, etc.). The DEF’s expenditures during the month of Jan 2024 were: $230,200.62 in internal expenses, and $96,714.48 in external expenses.

What we worked on and what was happening:

Work of the Month: Summary

2023

2023
  • What is DeFi?
    DeFi is an umbrella term for open-source software protocols that run on the internet that allow people to conduct financial activities in a new way. DeFi is about creating universally accessible financial infrastructure that anyone with an internet connection can access and use, and that’s something anyone can get on board with who values things like accessibility, independence, self-custody, or autonomy in their financial lives.
  • What are the benefits of DeFi?
    DeFi is software that can increase economic access for everyone by making the digital economy fairer, more transparent and more equitable. Increased Transparency: DeFi protocols increase operational transparency about the mechanics of market infrastructures and associated fees by using open-source software, which makes transactions more transparent and auditable by using blockchain-based records. Equitable Market Access: DeFi protocols are open and available to anyone in the world with an internet connection, giving them the potential to significantly expand access to financial services.[1] That access empowers more people to use financial services without having to go through intermediaries that may prevent sectors of the market from participation, either through unavailability, absolute prohibitions, excessive pricing, or unfair or discriminatory treatment. 24/7/365 Liquidity: Users can access and use markets at all times of the day without the need for closing markets at the end of each day. Among other things, this eliminates the risk of capital dislocations due to illiquid aftermarket trading in traditional systems. Lower Costs and Faster Settlement: DeFi protocols reduce friction and transaction costs for the creation, distribution, trading, and settlement of financial assets with faster settlement times for users. Improved Security: Transactions using DeFi protocols are recorded on blockchains, the records of which cannot be manipulated or amended, offering greater security to users. Greater Control: The absence of intermediaries in DeFi protocols provides individuals with the ability to custody their own assets, giving them greater control and certainty. Additionally, in some instances, market participants can directly develop community-governance standards. Greater Uptime: Permissionless blockchains are operationally resilient (the Ethereum blockchain has never gone down), whereas traditional market infrastructures have had major technology failures, resulting in downtime for securities markets. Elimination of Broker Risk: DeFi protocols have no employees to supervise, no financial risk for users from broker activity or custody, and no interaction between a broker and customers that could result in unlawful sales practices or other unfair and discriminatory dealing. Elimination of Anti-Competitiveness: Users can easily move their self-custodied cryptocurrencies from one protocol to another at any time without significant friction, unlike the “siloed” experience in traditional financial services.
  • Why does DeFi challenge the traditional approach to financial regulation?
    To a large extent, the existing financial regulatory system applies centralized intermediaries. Before the development of cryptocurrencies and DeFi protocols, digital financial activities required the use of intermediating financial institutions. DeFi protocols allow people to engage in economic activities using software instead of financial institutions, similar to how people can use bitcoin’s software to conduct peer-to-peer payments. But “what they are” — open-source software programs that run on the internet — createst insuperable challenges for a regulatory framework predicted on the necessity of intermediating businesses in financial activities. DeFi developers and market participants share those objectives: to protect consumers, prevent illicit financial activity, and limit systemic risks. The problem is that it’s impossible to accomplish those goals using the old toolbox. “No regulation can be static in a dynamic society.” Our approach to accomplishing long-standing policy objectives has always needed to adapt to technological innovation. DeFi is no different. DeFi is something genuinely unprecedented, and we need to develop a new toolbox that can allow for societies to enjoy the benefits of DeFi while simultaneously equipped to accomplish core policy objectives.
  • What is DeFi not?
    DeFi is a truly decentralized alternative to Centralized Finance (CeFi). CeFi relies on trusted intermediaries to effectuate activities on behalf of customers, custody assets and control permissions or access. By contrast, DeFi runs on permissionless protocols that lack centralized intermediation entirely.
  • How does the DeFi Education Fund handle conflicts of interest?
    For any conflicts of interests that may arise over normal course of business, individual members of the DeFi Education Fund will recuse themself from said activity.
  • Does the DeFi Education Fund have members?
    As a 501(c)(4) nonprofit organization, we do not have any members.
  • How is the DeFi Education Fund funded?
    We were allocated an initial one million UNI back in August 2021. We also engage in fundraising activities to further support our mission.
  • I have questions, who should I contact?
    For general inquiries, please reach out to contact@defieducationfund.org For media-related inquiries, please reach out to max@defieducationfund.org For grant-related inquiries, please reach out to grants@defieducationfund.org

2022

2022
  • What is DeFi?
    DeFi is an umbrella term for open-source software protocols that run on the internet that allow people to conduct financial activities in a new way. DeFi is about creating universally accessible financial infrastructure that anyone with an internet connection can access and use, and that’s something anyone can get on board with who values things like accessibility, independence, self-custody, or autonomy in their financial lives.
  • What are the benefits of DeFi?
    DeFi is software that can increase economic access for everyone by making the digital economy fairer, more transparent and more equitable. Increased Transparency: DeFi protocols increase operational transparency about the mechanics of market infrastructures and associated fees by using open-source software, which makes transactions more transparent and auditable by using blockchain-based records. Equitable Market Access: DeFi protocols are open and available to anyone in the world with an internet connection, giving them the potential to significantly expand access to financial services.[1] That access empowers more people to use financial services without having to go through intermediaries that may prevent sectors of the market from participation, either through unavailability, absolute prohibitions, excessive pricing, or unfair or discriminatory treatment. 24/7/365 Liquidity: Users can access and use markets at all times of the day without the need for closing markets at the end of each day. Among other things, this eliminates the risk of capital dislocations due to illiquid aftermarket trading in traditional systems. Lower Costs and Faster Settlement: DeFi protocols reduce friction and transaction costs for the creation, distribution, trading, and settlement of financial assets with faster settlement times for users. Improved Security: Transactions using DeFi protocols are recorded on blockchains, the records of which cannot be manipulated or amended, offering greater security to users. Greater Control: The absence of intermediaries in DeFi protocols provides individuals with the ability to custody their own assets, giving them greater control and certainty. Additionally, in some instances, market participants can directly develop community-governance standards. Greater Uptime: Permissionless blockchains are operationally resilient (the Ethereum blockchain has never gone down), whereas traditional market infrastructures have had major technology failures, resulting in downtime for securities markets. Elimination of Broker Risk: DeFi protocols have no employees to supervise, no financial risk for users from broker activity or custody, and no interaction between a broker and customers that could result in unlawful sales practices or other unfair and discriminatory dealing. Elimination of Anti-Competitiveness: Users can easily move their self-custodied cryptocurrencies from one protocol to another at any time without significant friction, unlike the “siloed” experience in traditional financial services.
  • Why does DeFi challenge the traditional approach to financial regulation?
    To a large extent, the existing financial regulatory system applies centralized intermediaries. Before the development of cryptocurrencies and DeFi protocols, digital financial activities required the use of intermediating financial institutions. DeFi protocols allow people to engage in economic activities using software instead of financial institutions, similar to how people can use bitcoin’s software to conduct peer-to-peer payments. But “what they are” — open-source software programs that run on the internet — createst insuperable challenges for a regulatory framework predicted on the necessity of intermediating businesses in financial activities. DeFi developers and market participants share those objectives: to protect consumers, prevent illicit financial activity, and limit systemic risks. The problem is that it’s impossible to accomplish those goals using the old toolbox. “No regulation can be static in a dynamic society.” Our approach to accomplishing long-standing policy objectives has always needed to adapt to technological innovation. DeFi is no different. DeFi is something genuinely unprecedented, and we need to develop a new toolbox that can allow for societies to enjoy the benefits of DeFi while simultaneously equipped to accomplish core policy objectives.
  • What is DeFi not?
    DeFi is a truly decentralized alternative to Centralized Finance (CeFi). CeFi relies on trusted intermediaries to effectuate activities on behalf of customers, custody assets and control permissions or access. By contrast, DeFi runs on permissionless protocols that lack centralized intermediation entirely.
  • How does the DeFi Education Fund handle conflicts of interest?
    For any conflicts of interests that may arise over normal course of business, individual members of the DeFi Education Fund will recuse themself from said activity.
  • Does the DeFi Education Fund have members?
    As a 501(c)(4) nonprofit organization, we do not have any members.
  • How is the DeFi Education Fund funded?
    We were allocated an initial one million UNI back in August 2021. We also engage in fundraising activities to further support our mission.
  • I have questions, who should I contact?
    For general inquiries, please reach out to contact@defieducationfund.org For media-related inquiries, please reach out to max@defieducationfund.org For grant-related inquiries, please reach out to grants@defieducationfund.org

2021

2021
  • What is DeFi?
    DeFi is an umbrella term for open-source software protocols that run on the internet that allow people to conduct financial activities in a new way. DeFi is about creating universally accessible financial infrastructure that anyone with an internet connection can access and use, and that’s something anyone can get on board with who values things like accessibility, independence, self-custody, or autonomy in their financial lives.
  • What are the benefits of DeFi?
    DeFi is software that can increase economic access for everyone by making the digital economy fairer, more transparent and more equitable. Increased Transparency: DeFi protocols increase operational transparency about the mechanics of market infrastructures and associated fees by using open-source software, which makes transactions more transparent and auditable by using blockchain-based records. Equitable Market Access: DeFi protocols are open and available to anyone in the world with an internet connection, giving them the potential to significantly expand access to financial services.[1] That access empowers more people to use financial services without having to go through intermediaries that may prevent sectors of the market from participation, either through unavailability, absolute prohibitions, excessive pricing, or unfair or discriminatory treatment. 24/7/365 Liquidity: Users can access and use markets at all times of the day without the need for closing markets at the end of each day. Among other things, this eliminates the risk of capital dislocations due to illiquid aftermarket trading in traditional systems. Lower Costs and Faster Settlement: DeFi protocols reduce friction and transaction costs for the creation, distribution, trading, and settlement of financial assets with faster settlement times for users. Improved Security: Transactions using DeFi protocols are recorded on blockchains, the records of which cannot be manipulated or amended, offering greater security to users. Greater Control: The absence of intermediaries in DeFi protocols provides individuals with the ability to custody their own assets, giving them greater control and certainty. Additionally, in some instances, market participants can directly develop community-governance standards. Greater Uptime: Permissionless blockchains are operationally resilient (the Ethereum blockchain has never gone down), whereas traditional market infrastructures have had major technology failures, resulting in downtime for securities markets. Elimination of Broker Risk: DeFi protocols have no employees to supervise, no financial risk for users from broker activity or custody, and no interaction between a broker and customers that could result in unlawful sales practices or other unfair and discriminatory dealing. Elimination of Anti-Competitiveness: Users can easily move their self-custodied cryptocurrencies from one protocol to another at any time without significant friction, unlike the “siloed” experience in traditional financial services.
  • Why does DeFi challenge the traditional approach to financial regulation?
    To a large extent, the existing financial regulatory system applies centralized intermediaries. Before the development of cryptocurrencies and DeFi protocols, digital financial activities required the use of intermediating financial institutions. DeFi protocols allow people to engage in economic activities using software instead of financial institutions, similar to how people can use bitcoin’s software to conduct peer-to-peer payments. But “what they are” — open-source software programs that run on the internet — createst insuperable challenges for a regulatory framework predicted on the necessity of intermediating businesses in financial activities. DeFi developers and market participants share those objectives: to protect consumers, prevent illicit financial activity, and limit systemic risks. The problem is that it’s impossible to accomplish those goals using the old toolbox. “No regulation can be static in a dynamic society.” Our approach to accomplishing long-standing policy objectives has always needed to adapt to technological innovation. DeFi is no different. DeFi is something genuinely unprecedented, and we need to develop a new toolbox that can allow for societies to enjoy the benefits of DeFi while simultaneously equipped to accomplish core policy objectives.
  • What is DeFi not?
    DeFi is a truly decentralized alternative to Centralized Finance (CeFi). CeFi relies on trusted intermediaries to effectuate activities on behalf of customers, custody assets and control permissions or access. By contrast, DeFi runs on permissionless protocols that lack centralized intermediation entirely.
  • How does the DeFi Education Fund handle conflicts of interest?
    For any conflicts of interests that may arise over normal course of business, individual members of the DeFi Education Fund will recuse themself from said activity.
  • Does the DeFi Education Fund have members?
    As a 501(c)(4) nonprofit organization, we do not have any members.
  • How is the DeFi Education Fund funded?
    We were allocated an initial one million UNI back in August 2021. We also engage in fundraising activities to further support our mission.
  • I have questions, who should I contact?
    For general inquiries, please reach out to contact@defieducationfund.org For media-related inquiries, please reach out to max@defieducationfund.org For grant-related inquiries, please reach out to grants@defieducationfund.org
bottom of page