Centralised, trust-based models have long controlled the financial and digital ecosystems, dependent on intermediaries and gatekeepers to manage transactions, assets, and user data. These traditional structures rely heavily on the belief that these entities will act in our best interest, whether safeguarding money or handling personal information. Yet, with the advent of blockchain technology, a significant shift is underway, as we move away from reliance on trust and into an era defined by verifiable truth.
Blockchain introduces an entirely new framework where transparency, security, and control are embedded directly into the system. It presents a distributed ledger that records all transactions in a way that cannot be altered or hidden, providing a level of accountability that was previously impossible. This shift has allowed for a more decentralised approach, removing the need for intermediaries and enabling individuals to take control of their assets and information.
This transition is not limited to finance. The Elastos SmartWeb represents the next step, where the entire internet can operate in a decentralised way, putting the user in charge. Rather than simply applying blockchain to financial systems, Elastos builds on this foundation to decentralise the web itself. Through the SmartWeb, users can control their identities, data, and digital interactions without needing to trust centralised authorities.
Escaping Centralised Systems and the Compliance Mindset
In the current economy, many people are stuck in a cycle where they rely on their jobs and debt to survive, limiting their ability to take risks or explore new financial opportunities. This mindset creates a sense of dependency and conformity, as individuals prioritise short-term security over long-term growth. The high levels of debt and lack of available cash make it difficult for many to invest in new opportunities, especially those that seem volatile or uncertain, like Bitcoin.
To further add to this global debt crisis, the actions of central banks—such as raising interest rates to curb inflation—have led to mixed outcomes across different segments of the economy. The result has been what many describe as a “K-shaped” recovery, where wealthier individuals and institutions benefit from market movements while lower-income groups face mounting financial struggles. This divide has only grown, with many lower-income individuals experiencing significant economic pressure due to increased debt and stagnant wages. The structure of the U.S. financial system, especially its reliance on long-term fixed-rate debt, makes it less responsive to rate changes than other economies. This creates instability, as large movements in capital could shift investment away from U.S. markets and toward other global opportunities if rates are adjusted. In the past, such shifts have led to significant realignments in global economic power.
Blockchain technology, and the Elastos SmartWeb in particular, offer a solution to the challenges posed by the K-shaped recovery. By decentralising finance and ownership, Elastos allows individuals to bypass traditional systems that disproportionately favor the wealthy. Escaping this trust-based mindset requires embracing truth-based tools and platforms that offer more control and independence.
The Elastos SmartWeb provides such tools by decentralising products and allowing individuals to take control of their digital and financial lives. These tools support a mindset of ownership and independence, helping people to break free from the limitations of centralised systems. By creating new opportunities for wealth generation and self-sovereignty, Elastos opens the door to economic freedom and long-term success, reducing the need to rely on systems that exacerbate inequality.
BeL2: Extending Bitcoin’s Reach
Bitcoin has been a fundamental driver of the shift from trust-based to truth-based systems. Through its secure, transparent network, Bitcoin has empowered individuals to manage their wealth independently of banks or other financial intermediaries. BeL2 (Bitcoin-Elastos Layer 2) extends Bitcoin’s reach by enabling it to interact with smart contracts across different blockchains. This creates a new layer of financial possibilities without removing Bitcoin from its secure foundation.
BeL2 doesn’t just offer financial applications. By connecting Bitcoin with Elastos SmartWeb, BeL2 allows users to integrate Bitcoin’s value into a wide array of decentralised applications. Whether used for decentralised financial services or managing digital assets, BeL2 empowers users to connect Bitcoin’s value with decentralised applications and participate in a world where control is truly in their hands.
This expanded capability is crucial for truth-based decentralised finance (DeFi). With BeL2, users can engage in financial activities like loans or staking without traditional financial intermediaries. Transparency is embedded in the system, offering a powerful alternative for managing finances. For example, lenders can offer loans with APY directly to Bitcoin holders. Through a transparent ledger, Bitcoin holders can view available loans and collateralise their Bitcoin without bridging to another blockchain, keeping everything secure within Bitcoin’s network. The flow is simple:
- Lender offers loan: Lenders list loan terms (APY, collateral, etc.) on the blockchain.
- Holder collateralises: Bitcoin holders lock collateral directly within BeL2, staying on Bitcoin’s network.
- Loan execution: Smart contracts handle the loan process automatically and securely.
- Repayment or liquidation: If repaid, the collateral is returned; otherwise, the collateral is liquidated per the contract.
This allows Bitcoin holders to participate in truth-based DeFi without leaving Bitcoin’s secure ecosystem, and what’s more, provides decentralised nodes with the ability to support transactions and earn income, using the Elastos SmartWebs ELA as collateral to enter.
The New Player in a Decentralised World
To succeed in this new financial and digital environment, individuals must adopt a mindset that encourages critical thinking and adaptability. Those who can learn quickly and take calculated risks will be well-positioned to take advantage of new opportunities as they arise. In this decentralised landscape, every individual can become a key player in the emerging digital economy, free from the constraints of centralised control.
Elastos SmartWeb empowers users to become more than just participants—they can take control of their online identities, assets, and interactions. With BeL2, Bitcoin’s value can be leveraged not only in financial transactions but in all aspects of the decentralised internet. By integrating decentralised finance with a user-owned web, Elastos allows individuals to become truly independent, capable of navigating the evolving digital world with confidence. Did you enjoy this article? Follow Infinity for the latest updates here!
