CONTEXT:
Looking at the history of @Noam we were expecting quality and depth on this post and we must admit that we have been served. The context of this study shows great improvement on the initial vision that was kickstarted by the ATOM 2.0 proposal and it’s Treasuries ideas.
We must also stress our great pleasure to see discussions around the LaaS (liquidity as a service) finally seeing ground within a broader part of the community. At Govmos (the governance arm of PRO Delegators’ validator) we have always emphasized the need to shift the narrative toward financial services in the Hub instead of sticking to the existing political debates & community pool spending. Of course these two are essential, but our models also predict that the Hub will evolve to resemble more and more to a decentralized bank. That is a topic we explored with greater detail in our ATOM Tokenomics - Currency Types Modeling in Markets post.
On this front we must say that we have been pleased to read the replies from @maximus which clearly shows that they are also understanding the mechanisms through which the Hub’s financialization path could begin to exist beyond SaaS (Security as a Service).
ANALYSIS:
Based on a simplified model of banking activities and revenue, we will assume the Hub’s financial activities to be specifically targeted to businesses & companies.
If we zoom into this category we would see two sub-categories, commercial banking and investment banking. The scope of the AAT falls into the realm of commercial banking activities. LaaS would correlate to bank lending facilities and specifically into “trade finance” and “asset backed finance”.
To us, the fact that the proposed infrastructure of this post could enable the creation of financial services akin to those of currently existing financial institution isn’t just a coincidence. These are indications that the current propositions are well positioned to be market-fit and find great utility to bring financial stability into the Cosmos while also bringing sustainable revenues to the Hub.
CONCLUSION:
We strongly support the innovations proposed in this research. We think this Treasury infrastructure is critical to the success of the AEZ into becoming the Financial Hub that the Cosmos need. One that is decentralized, transparent and driven by a well-informed community. Therefore we also want to note our great pleasure to see more financial profiles to join the discussions in the forum.