# AVI Mini-Thesis: "Plaid for Crypto" 

**URL:** <https://forum.arbitrum.foundation/t/avi-mini-thesis-plaid-for-crypto/27986>\
**Category:** General\
**Created:** [December 24, 2024, 4:06am UTC](https://forum.arbitrum.foundation/t/avi-mini-thesis-plaid-for-crypto/27986 "2024-12-24T04:06:34Z")\
**Posts on this page:** 1\
**Showing post:** 5

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**Author:** ![ArbitrumVentures](https://yyz1.discourse-cdn.com/flex029/user_avatar/forum.arbitrum.foundation/arbitrumventures/32/11502_2.png) [@ArbitrumVentures](https://forum.arbitrum.foundation/u/ArbitrumVentures)\
**Post date:** [February 19, 2025, 7:28pm UTC](https://forum.arbitrum.foundation/t/avi-mini-thesis-plaid-for-crypto/27986/5 "2025-02-19T19:28:50Z")

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Today, in the second installment of our series on AVI’s mini-thesis, [Plaid for Crypto](https://forum.arbitrum.foundation/t/avi-mini-thesis-plaid-for-crypto/27986) ([discussed above](https://forum.arbitrum.foundation/t/avi-mini-thesis-plaid-for-crypto/27986/3)), we introduced iDOS and Fabric to discuss their views on the mini-thesis and how they might contribute toward its realization. Insights from the call will be shared shortly. The [recording can be found here](https://drive.google.com/file/d/14Lx6BwRzCY7pJpF91NElLbSDlJi4Vhln/view?usp=drive_web)!

Below is a summary of key take-aways from each discussion.

# iDOS

**Speaker:** Lluis Bardet

IDOS provides a framework for securely sharing identity data across blockchain applications. The discussion emphasized the role of reusable identity verification in accelerating the institutional adoption of DeFi.

**Key Challenges Identified:**

- **Identity & Compliance Barriers:** Keeping up with compliance requirements can easily add unexpected costs for DeFi teams. At the same time it’s not a step that can be skipped, especially when onboarding institutional-grade liquidity.
- **Regulatory Uncertainty:** Current KYC/AML frameworks do not seamlessly integrate with blockchain-native ecosystems.
- **User Experience in OpenFi:** Reusable identity could lower onboarding friction for new users.

**How IDOS Can Support Arbitrum Ventures and the Ecosystem:**

- **Compliance-Friendly Infrastructure:** Providing a standardized identity layer to help fintechs & TradFi players access protocols in Arbitrum’s DeFi ecosystem safely.
- **Enable Attracting Institutional Liquidity:** Enable DeFi teams to onboard regulated capital providers by offering secure, compliant identity solutions.
- **Advising on Compliance:** Working with Arbitrum Ventures to support their portfolio teams and assist in shaping AV’s institutional engagement strategy.

# Fabric

**Speakers:** Anil Hansjee & Ian Emerson

Fabric Ventures, a leading Web3 venture firm, covered the growing intersection between fintech and DeFi and its impact on stablecoin-driven payments and liquidity management.

**Market Opportunities:**

- **Infrastructure for Open Finance (OpenFi):** Building key middleware to streamline Web3 adoption for traditional businesses.
- **Sticky Liquidity:** Ensuring stable and KYC’d liquidity pools so that DeFi solutions can be considered and implemented by Fintechs and institutional players.
- **AI-Enabled Smart Wallets & Privacy Solutions:** Allowing users to invest, deposit, login and more with a simple command in the same app, instead of navigating multiple front ends.

**How Fabric Can Support Arbitrum Ventures:**

- **Investment Structuring & Co-Investments:** Assisting AVI in designing capital deployment strategies aligned with Arbitrum’s ecosystem growth.
- **Market Monitoring & Research:** Collaborating on thesis development and identifying investment opportunities.

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_[View the full topic](https://forum.arbitrum.foundation/t/avi-mini-thesis-plaid-for-crypto/27986)._