Flying the nest - pitfalls on the journey to decentralization

Thanks for the feedback I’m glad you found it useful. It’s definitely something I hope we measure ourselves against and I intend to try and solve some of the issues over time, drop me a message here or on Discord if it’s something you want to get involved in more deeply.

To your point, I agree but think there are some things we can do especially if we start thinking about it now. In terms of legitimacy this should come with time. The longer we spend diligently managing indexes the more legitimate and trusted Index Coop becomes, when this is leveraged against being able to invest through our products and hold governance tokens that receive a share of profits, this has an advantage over tradfi equivalents. It also comes from setting out our vision and values, making them public and then consistently demonstrating them as we grow.

My view is perhaps pretty simple but I see consumers having the choice in future between continuing to trust these centralised entities and funnelling the profits to the execs and largest shareholders, or taking part in the decentralised equivalent where they can hold a share (under their own custody in a web3 wallet!) that allows them to both participate in decision making and accrue value as the protocol grows.

Perhaps if companies like Blackrock move quickly enough, they will look to partner with their DeFi counterparts like Index Coop rather than leaving it too late and having to build their own solution.

If they launched ‘bDPI’ tomorrow would you move your tokens to them to manage?

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