VIDEO | There is a vacuum between traditional finance and the new opportunities in crypto – and Finnish startup Tesseract is one of the innovators trying to fill the space. PostTrade 360° Helsinki hosted COO Niklas Lahti to present his company and the market it works in – and TietoEVRY’s Kim Engman gave an intro. See their session.
Do you have a dollar you could consider lending? Well, you could deposit it at a bank, but you would be unlikely to get much of an interest yield these days. Yet, if you enter the crypto world, your tokenized dollar might be possible to lend at 5–6 percent – fully covered by collateral in bitcoin, in a super liquid market, and possible for you to liquidate at any time.
This is the world where people like Niklas Lahti, COO of Tesseract Investments, build new businesses in the vast gap between old and new finance, using elements of both.
“Our company is essentially about managing credit risk, we are kind of like a bank on that point. So the value we add towards our lenders is really that we are good at managing credit risk, in this very nascent and growing industry,” he says.
In the session, he is interviewed by TietoEVRY’s Kim Engman, who also gave a 10-minute brief on digital assets operations including “central bank digital currencies” (CBDC). The distinction between central bank money (such as paper notes and coins) and account money issued by commercial banks is key to understanding why central banks are increasingly looking into the promise of the CBDCs.
Find below a video for each part of the session, with Tesseract’s Niklas Lahti in the bottom one.
• News from the PostTrade 360° Helsinki event is gathered here.
• The 32-page pdf magazine, which includes the agenda, can be downloaded by clicking here.
• For a 3-page breakout of the agenda section, click here.
• By the way … are we connected on LinkedIn already, among the 2,000 post-trade pros who are? Follow us here.