Connect with us

Technology

How Decentralized Finance Could Make Investing More Accessible

Published

on

.container {
max-width: 1200px;
}
.button {
display: inline-block;
height: 45px;
color: #ffffff;
text-align: center;
font-family: helvetica;
letter-spacing: .01rem;
text-decoration: none;
white-space: nowrap;
border-radius: 0px;
line-height: 45px;
font-size: em(13);
cursor: pointer;
box-sizing: border-box;
background: #A1E0D7;
transition-duration: 0.4s;
margin-bottom: 1px;
width: 33.33333%;

}
.button-group {
position: left;
width: 100%;
display: inline-block;
list-style: none;
padding: 0;
margin: 0;
/* IE hacks */
zoom: 1;
*display: inline;
}
.button-group li {
float: left;
padding: 0;
margin: 0;
}
.button-group .button {
display: inline-block;
box-sizing: border-box;
color: white;

}
.button-group > .button:not(:first-child):not(:last-child), .button-group li:not(:first-child):not(:last-child) .button {
border-radius: 0;
}
.button-group > .button:first-child, .button-group li:first-child .button {
margin-left: 0;
border-top-right-radius: 0;
border-bottom-right-radius: 0;
}
.button-group > .button:last-child, .button-group li:last-child > .button {
border-top-left-radius: 0;
border-bottom-left-radius: 0;
border-bottom-right-radius: 0;
}
.button:hover {
background-color: #FFC38C;

}
.button.active {
background-color: #FFC38C;
}
.button-group :not(:last-child) {
border-right: 1px solid white;
padding-right: 0px;
}
.button-group {
border-right: none;
margin-right: none;
}
@media (max-width: 600px) {
.button {
font-size: 13px;}

}

Infographic: How Decentralized Finance Could Make Investing More Accessible

Did you know that a majority of the global population doesn’t have access to quality financial assets?

In advanced economies, we are lucky to have simple options to grow and protect our wealth. Banks are all over the place, markets are robust, and we can invest our money into assets like stocks or bonds at the drop of a hat.

In the United States, roughly 52% of people are invested in the stock market – but in a place like India, for example, this portion drops to a paltry 2%. How can we make it possible for people on the “outside” of the financial system to gain access?

Breaking Down Barriers

Today’s infographic comes to us from Abra, and it shows how decentralized finance could make investing a more universal phenomenon, especially for those that don’t have access to the modern financial system.

It lays out four key obstacles that prevent people in developing markets from investing in quality financial assets in the first place:

  1. The Geographic Lottery
    Where you live plays a massive role in determining your ability to build wealth. In advanced Western economies, the average person is much more likely to be invested in financial markets that can help compound wealth.
  2. Financial Literacy and Complexity
    Roughly 3.5 billion adults globally lack an understanding of basic financial concepts, which creates an impenetrable barrier to investing.
  3. Local Market Turmoil
    Even if a person is mentally prepared to invest, local market turmoil (hyperinflation, political crises, closed borders, etc.) can make it difficult to get access to stable assets.
  4. The Cost of Investing in Foreign Markets
    Foreign assets can be pricey. One share of Amazon is $1,800, which is realistically more money than many people around the world can afford.

In other words, there are billions of people globally that can’t take advantage of some of the most effective wealth-building tactics.

This is just one flaw in the current financial system, a paradigm that has created massive amounts of wealth but only for a specific and well-connected group of people.

Enter Decentralized Finance

Could decentralized finance be the alternative to open up access to financial markets?

By combining apps with blockchain technology – specifically through public blockchains such as Bitcoin or Ethereum – decentralized finance makes it possible to get around some of the barriers that are created by more traditional systems.

Here are some of the innovations that are making this possible:

Smart contracts could automate transactions and remove intermediaries, making investing cheaper, faster, and more accessible.

Fractional investing could allow partial or shared ownership of financial assets by using tokenization. This would make expensive stocks like Amazon ($1,800 per share) available to a much wider segment of the population.

Location independent investing is possible through smartphones. This would make it possible for people in remote parts of the developing world to invest, even without access to nearby financial institutions or local markets.

Like the internet with knowledge, decentralized finance could reshape the world by making financial access universal. Who’s ready?

Click for Comments

Technology

Ranked: Semiconductor Companies by Industry Revenue Share

Nvidia is coming for Intel’s crown. Samsung is losing ground. AI is transforming the space. We break down revenue for semiconductor companies.

Published

on

A cropped pie chart showing the biggest semiconductor companies by the percentage share of the industry’s revenues in 2023.

Semiconductor Companies by Industry Revenue Share

This was originally posted on our Voronoi app. Download the app for free on Apple or Android and discover incredible data-driven charts from a variety of trusted sources.

Did you know that some computer chips are now retailing for the price of a new BMW?

As computers invade nearly every sphere of life, so too have the chips that power them, raising the revenues of the businesses dedicated to designing them.

But how did various chipmakers measure against each other last year?

We rank the biggest semiconductor companies by their percentage share of the industry’s revenues in 2023, using data from Omdia research.

Which Chip Company Made the Most Money in 2023?

Market leader and industry-defining veteran Intel still holds the crown for the most revenue in the sector, crossing $50 billion in 2023, or 10% of the broader industry’s topline.

All is not well at Intel, however, with the company’s stock price down over 20% year-to-date after it revealed billion-dollar losses in its foundry business.

RankCompany2023 Revenue% of Industry Revenue
1Intel$51B9.4%
2NVIDIA$49B9.0%
3Samsung
Electronics
$44B8.1%
4Qualcomm$31B5.7%
5Broadcom$28B5.2%
6SK Hynix$24B4.4%
7AMD$22B4.1%
8Apple$19B3.4%
9Infineon Tech$17B3.2%
10STMicroelectronics$17B3.2%
11Texas Instruments$17B3.1%
12Micron Technology$16B2.9%
13MediaTek$14B2.6%
14NXP$13B2.4%
15Analog Devices$12B2.2%
16Renesas Electronics
Corporation
$11B1.9%
17Sony Semiconductor
Solutions Corporation
$10B1.9%
18Microchip Technology$8B1.5%
19Onsemi$8B1.4%
20KIOXIA Corporation$7B1.3%
N/AOthers$126B23.2%
N/ATotal $545B100%

Note: Figures are rounded. Totals and percentages may not sum to 100.


Advertisement

Meanwhile, Nvidia is very close to overtaking Intel, after declaring $49 billion of topline revenue for 2023. This is more than double its 2022 revenue ($21 billion), increasing its share of industry revenues to 9%.

Nvidia’s meteoric rise has gotten a huge thumbs-up from investors. It became a trillion dollar stock last year, and broke the single-day gain record for market capitalization this year.

Other chipmakers haven’t been as successful. Out of the top 20 semiconductor companies by revenue, 12 did not match their 2022 revenues, including big names like Intel, Samsung, and AMD.

The Many Different Types of Chipmakers

All of these companies may belong to the same industry, but they don’t focus on the same niche.

According to Investopedia, there are four major types of chips, depending on their functionality: microprocessors, memory chips, standard chips, and complex systems on a chip.

Nvidia’s core business was once GPUs for computers (graphics processing units), but in recent years this has drastically shifted towards microprocessors for analytics and AI.

These specialized chips seem to be where the majority of growth is occurring within the sector. For example, companies that are largely in the memory segment—Samsung, SK Hynix, and Micron Technology—saw peak revenues in the mid-2010s.


Advertisement

Continue Reading
HIVE Digital Technologies

Subscribe

Popular