Decentralized finance (DeFi) has the potential to revolutionize how the world’s unbanked population gains access to financial services, thanks largely to its minimal onboarding costs compared to traditional banking, according to Anton Bukov, co-founder of the popular decentralized exchange aggregator 1inch.
Speaking at Dutch Blockchain Week in Amsterdam on May 22, Bukov highlighted one of DeFi’s biggest advantages: the dramatically lower cost of bringing new users into the ecosystem. Unlike traditional banks, which often spend hundreds of dollars to verify identities and establish accounts, DeFi platforms require almost no financial overhead—just a smartphone and an internet connection.
“Onboarding to DeFi literally costs zero,” Bukov explained. “There’s no need for expensive brick-and-mortar branches or lengthy identity verification processes. Anyone can connect and start transacting immediately.”
This lean onboarding model stands in stark contrast to the $100 to $300 banks typically spend per new customer, and even the $20 to $30 online banks spend to onboard users. Such high costs have left roughly 1.4 billion people globally without access to formal banking services—many simply priced out by these entry barriers.
Bukov pointed out the economic reality behind this exclusion: “No financial institution wants to invest hundreds of dollars into onboarding someone if there’s no guarantee of a return. That’s why so many remain unbanked.”
DeFi’s near-zero cost opens the door for these individuals to join the global financial ecosystem for the first time. Through decentralized apps and stablecoins like Tether’s USDT, people can easily engage in everyday economic activities without the need for traditional bank accounts.
Bukov illustrated the simplicity of this inclusion: “You just need a phone and internet access. You can literally exchange your chicken for USDT. That’s how accessible it is.”
This ease of participation doesn’t just promise greater financial inclusion—it positions DeFi as a genuine alternative to traditional finance for millions who have been left behind. As internet penetration deepens worldwide, Bukov believes DeFi will reach more and more people who’ve never had banking services before.
But the advantages of DeFi extend beyond simply opening accounts. Bukov emphasized that the real power lies in DeFi’s ability to provide access to global liquidity pools—creating a dynamic, borderless financial ecosystem where hundreds of billions of dollars flow through decentralized protocols daily.
“Crypto isn’t just about adopting stablecoins or issuing national digital currencies,” he said. “It’s rapidly becoming an independent economic zone, a global liquidity hub that facilitates financial innovation and capital movement across borders.”
This liquidity is highly flexible, enabling new types of financial experimentation, yield farming strategies, and seamless cross-border transactions—tools that were once out of reach for many users worldwide.
Bukov also underscored the importance of regulatory environments adapting to this new reality. Countries that align their policies to enable smoother access to these decentralized liquidity pools stand to benefit from enhanced economic cooperation and trade.
“The more nations trade with each other, the stronger their economies become. Crypto operates on the same principle,” Bukov noted.
In summary, 1inch’s co-founder sees DeFi as a transformative force poised to lower the barriers that have long kept billions out of the financial system. With near-zero onboarding costs and access to vast global liquidity, DeFi offers a compelling pathway toward true financial inclusion and economic empowerment for the world’s unbanked.
