As Hong Kong, Singapore, the European Union and other places have successively introduced stablecoin regulatory policies, the capital channel of the crypto market is quietly opening. On the one hand, giants such as JPMorgan Chase and JD.com have entered the market, and on the other hand, USDC and USDT have become new cornerstones for cross-border payment and asset pricing. At such a turning point, the balance between the 'regulability' and 'financial utility' of Web3 has become the focus of discussion in the global market.
So, how will this wave of stablecoin compliance affect the Web3 primary market? Is traditional finance re-examining crypto asset allocation? Can Polkadot seize the dual opportunities of 'infrastructure' and 'institutional dividends' in this trend?
This PolkaWorld specially invites three guests from Polimec and 265 Dots - co-founder Luca, Chief Vibe Officer Flavio, and CEO Wilhelm who focuses on institutional docking - to jointly launch an in-depth discussion on market confidence recovery, institutional adding positions path and DOT ecological value re-evaluation.
We will start with a seemingly relaxed topic: what is the 'vibe' of Web3? From 'vibe' to financing strategies, from 'stablecoin regulation' to institutional entry rhythm, from Polkadot's technical foundation to the future path of cross-chain financing, this is a wonderful dialogue with emotion, perspective and depth.
Now, let us step into this 'confidence restoration period' belonging to Polkadot together.
Because the content is long, we will release it in two parts! This article is the first half, which mainly contains the following information:
Web3 is not only about code, but also about vibe
Translating Polkadot's Vibe to Traditional Institutions
Creating a Vibe where everyone is an investor
Without stablecoins, the Web3 market would not have developed to today's scale
From Bitcoin to Polkadot: The next step for institutions to add positions in Web3?
Connecting the last mile between TradFi and DeFi, stablecoins are becoming the bridge of Web3
Continue reading to see all the wonderful discussions!
Kristen: Hello everyone, welcome to PolkaWorld's live channel, I am Kristen! Today I am very happy to invite friends from Polimec and 265 Dots to talk about some recent changes in the market sentiment about Polkadot.
Recently, due to the influence of multiple factors, DOT is gradually regaining the attention and confidence of investors and institutions. I think this is a particularly good time to discuss this topic in depth. And our guests today are first-line participants in this field, whether in financing or institutional services, and I am very honored to have you here!
Then at the beginning of the show, please give a brief self-introduction first, so that the audience can have a preliminary understanding of you and your projects. Flavio, why don't we start with you?
Flavio: Of course! Hello everyone, I am Flavio, currently responsible for marketing and business development at Polimec, and also a member of the Polimec Foundation's board of directors.
Polimec is a parallel chain deployed on Polkadot, we mainly focus on the financing scenarios in the primary market, such as 1C0, Pre-TGE and other early financing stages. We have been deeply involved in the Polkadot ecosystem for a long time, and we are very familiar with the development and direction of the entire ecosystem. Next, I will hand it over to other guests to introduce~
Kristen: Welcome Flavio! What you are doing is also the primary market part that many retail investors are most concerned about. Then let's invite Wilhelm to introduce himself.
Wilhelm: Thank you for the invitation, Kristen. I am the CEO of 265 Dots, and I am very happy to be here. Our team mainly serves institutional clients, especially players in the traditional financial field, and the goal is to help them understand and enter the DOT ecosystem. We just started this project at the beginning of this year, and the vision is to bring more institutional-level financial support to Polkadot.
Kristen: That's great! I believe many people hope that more institutional capital can enter Web3. Although everyone is still waiting and watching the regulatory environment or market timing, I think now is the opportunity, and your joining is just in time. Finally, let's invite Luca to give an introduction.
Luca: Thank you Kristen, and I am also very happy to come to PolkaWorld's live broadcast again.
I am the co-founder of Polimec and also a member of the foundation's board of directors, my name is Luca von Wyttenbach. Flavio just introduced our financing products focused on the Pre-TGE stage, I would like to add a little bit.
In addition to in-depth deployment in the Polkadot ecosystem, we are also launching a new solution, the goal is to allow EVM-based public chains to use our platform for permissionless financing. This means that in the future we will support the early financing needs of multiple chains such as Polygon, Optimism, Arbitrum, Avalanche and MegaETH, helping more projects and investors break down ecological barriers and expand the scope of participation.
Web3 is not only about code, but also about vibe
Kristen: Wow, I feel that the investment opportunities in the crypto world are becoming more and more abundant! Welcome everyone again~ Then let's officially enter today's topic.
I would like to start with a particularly relaxed and interesting topic: about 'atmosphere'. The inspiration actually comes from Flavio's position, his Title lit up my eyes - he is Polimec's Chief Vibe Officer! To be honest, this is the first time I have seen such a position setting.
In the crypto industry, the word 'Vibe' is actually difficult to define with specific language, it is a feeling, an energy of a field, but it is the core element that can attract a group of like-minded people, co-builders and believers.
Then let's start with you, Flavio! How did you come up with this title? What kind of 'vibe' do you ideally want to create?
Flavio: Haha, I found it very interesting when I saw you asked this question! In fact, the inspiration for the 'Chief Vibe Officer' came from Leemo, who calls himself 'Chief Nice Officer'.
I think I am sometimes quite nice, but not nice all the time (laughs), so I was thinking of changing to a more suitable word - the concept of 'Vibe' is very right.
For me, 'vibe' is a comprehensive energy, it is whether you can feel its vitality, creativity, community enthusiasm, and the sense of connection between the teams when you walk into a project. I entered the crypto industry in the first place because I was attracted by this vibe: an atmosphere of exploration, innovation, and constant breaking of boundaries.
Of course, not every day is sunshine, we will also have troughs and confusions, but as long as the entire ecosystem still retains the energy of 'moving forward', it is still worth investing in wholeheartedly.
I have always felt that if we are doing these things just for work and cannot get fun from it, then it is really a pity. No matter how strong the technology or how good the product, if there is no 'vibe', I can't get interested in it myself. I believe many people are the same.
So, my 'job responsibilities' are actually to try to keep the vibe of the entire ecosystem active, sincere, and passionate - in a sense, I am like a 'atmosphere creator' (laughs).
Translating Polkadot's Vibe to Traditional Institutions
Kristen: That's so cool~ Then let's invite Wilhelm to speak. I have always been curious, the 'vibe' of traditional institutions and the Web3 world looks completely different, how do you connect these two completely different worlds and promote cooperation?
Wilhelm: This is a good question. In fact, I think that 'vibe' is precisely one of the reasons why many traditional financiers are attracted to Web3. Although we don't use the word 'vibe' much in the traditional financial circle, we are more used to calling it 'noise', such as 'the voice of the market' or 'market heat', but in essence they express the same thing - an intuition to feel trends, opportunities and the momentum of people.
The uniqueness of Web3 is that it is open, direct, and the communication between people is more real and more enthusiastic. And traditional finance is not without vibe, but it is more structured and more implicit. I think that many times the problem is not 'whether there is vibe', but whether you can translate the vibe in the other party's language. What we have to do is to translate the vibe of Web3 into the 'market heat' that traditional finance can understand, and then translate the logic of traditional finance back into the expression that the Web3 world can accept.
Kristen: Then do you think these two groups can really find common ground and achieve in-depth cooperation?
Wilhelm: I think it is completely possible. If you stand from the perspective of a traditional hedge fund or asset management institution, they are essentially constantly looking for new investment opportunities. And when they come into contact with Web3 institutions like Polimec, the 'atmosphere' and project heat behind them can actually become the key to attracting them.
Just like I said just now, this is often the difference in language systems. Traditional finance pursues 'liquidity', and Web3 also talks about 'liquidity', but the definition is slightly different, and the presentation form is also different. But in essence, both parties are looking for paths to capital efficiency, portfolio optimization, and return growth - the goal is the same. So, as long as you find a common language, there is a lot of room for cooperation. Moreover, good cooperation can also stimulate a healthy and positive 'atmosphere'.
Kristen: What was the opportunity that made you decide to join the Polkadot ecosystem?
Wilhelm: Actually, my relationship with Polkadot has been around for several years. From the perspective of traditional institutions, Polkadot is a core component of the Web3 ecosystem at the infrastructure level. This is very important.
If you look at it from the perspective of sovereign wealth funds, pension funds, or even top institutions like BlackRock and Vanguard, they are considering long-term layout and systemic infrastructure, rather than which meme coin suddenly skyrocketed. In this framework, Polkadot's positioning is very clear, it is the 'foundation' of Web3.
The second point is that I think Polkadot is in a stage of 'finding its own voice and amplifying it'. It has solid technology, a strong development team, and a clear structure, but the current 'market heat' has not fully matched this technical strength. And this is precisely where institutions are best at intervening - discovering undervalued value and then amplifying it.
So for me, there are three main reasons why Polkadot attracts me: it is the infrastructure of Web3, its stage has potential, and the technical team is very strong.
Kristen: Indeed, Polkadot has done a lot of technology in the past few years, but more work is needed on the market side to amplify the voice. So when you communicate with traditional financial institutions, is their understanding of Polkadot deep? Or do most people only know Bitcoin?
Wilhelm: I always tell the truth - yes, most institutions' first reaction is still Bitcoin, which is the status quo of the industry. But if you talk to some more cutting-edge technology VCs or large funds, you will find that they have been paying attention to Polkadot for many years. We have even had in-depth exchanges with some pension funds, and they know Polkadot.
Of course, if you suddenly ask them: 'Do you know what JAM is?' they will probably not be able to answer (laughs). So Polkadot's name has 'brand awareness', but the technical system and ecological structure behind it need someone to explain clearly and pave the way for understanding.
This is actually one of the reasons why we created 265 Dots - our mission is to help Polkadot amplify its voice, translate its discourse system, so that more institutions can truly understand the value of DOT and promote its application.
Creating a Vibe where everyone is an investor
Kristen: I understand, thank you for your sharing. Speaking of this, I thought of something interesting. When Gavin came to China at the beginning of 2025, a friend of mine specifically sent me a message asking: 'Can I buy JAM tokens now?' This actually shows that we still have a lot of work to do in user education and ecological construction (laughs). Thank you, Wilhelm.
Then the next question I would like to ask Luca. Polimec is a platform for investors, I am very curious, do you also need to be compatible with and attract different types of 'vibe'? I think the answer should be yes. So which type of people do you most want to attract at present? And how do you introduce them into the Polimec ecosystem?
Luca: Thank you Kristen, I also liked everyone's discussion about 'vibe' just now. I would like to start with the Web3 culture mentioned by Flavio, and then extend to Wilhelm's point of view - that is, there is actually not as big a gap between traditional finance (TradFi) and decentralized finance (DeFi) as imagined.
At Polimec, we offer a series of financing opportunities for the early stages. Now that we are expanding the EVM compatible ecosystem, the supported networks are more and the project choices are wider. Looking back at the crypto market a few years ago, investors were often very paranoid - if a project was not on their own chain or ecosystem, they would not consider it at all. But today, the market has matured a lot, and everyone has become more pragmatic and rational.
Whether it is TradFi or DeFi investors, the core points they are focusing on now are actually the same: is there a clear business model? Does the product meet market needs? Is the team reliable? Does the project have growth potential? These are the key factors that determine whether to invest.
So we hope to attract the 'vibe' that is compatible with TradFi and DeFi - people who have judgment, patience, and pay attention to quality, rather than simply pursuing heat.
At the same time, user experience is also a direction we are particularly concerned about.
In the past, everyone may have felt that using an on-chain wallet was cool, being able to control assets yourself and hearing mnemonic words sounds very 'decentralized'. But now it's different, users value 'convenience' more. If you still have to copy mnemonic words, manually back up, and keep them yourself, most ordinary users are not interested at all. So what we are doing now is to remove all 'friction': let users log in directly with email, Google account, Apple ID, and the whole process is as simple and intuitive as possible.
Of course, interface design cannot be ignored - visual aesthetics and smooth interaction effects are bonus points for both Web3 users and TradFi investors. Who doesn't like beautiful web pages and good user experience?
Kristen: It sounds like Polimec is really working hard to make 'investing in early-stage crypto projects' easier and more accessible. Then I am curious, when you promote this type of product design, has the policy environment in Europe helped you? Or is it easier to land in Europe?
Luca: From the user experience point of view, we don't think there is a particularly big difference between European users and users in other regions. But indeed, projects in different regions have obvious differences in 'style'.
For example, Asian projects generally have particularly strong front-end design, good visual style, beautiful Demo, and high community activity; while European projects are often very solid in technology, but the front-end and community are relatively weak. Looking at the United States, or now more and more Middle Eastern projects, they are the strongest in 'sales ability' and 'market promotion'.
So in the final analysis, a successful project must be a combination of three aspects: excellent technology, excellent vision, and excellent sales. But as far as the current situation is concerned, the projects that have really run out in the market often rely on 'sales ability' and 'channel ability' - they can tell stories, find resources, and are good at laying channels.
We also know that if Polimec wants to attract more high-quality projects and investors, it must focus on these three directions, especially to lower the user threshold, improve the user experience, and make early-stage crypto financing something that everyone can participate in.
Without stablecoins, the Web3 market would not have developed to today's scale
Kristen: It sounds like a grand project! Then let's turn the topic to 'investment environment'. Recently, the news about 'stablecoins' can be said to be overwhelming: whether it is the advancement of (Genius Act) or the stablecoin regulatory policies introduced in Hong Kong, the entire market is hotly discussing. Interestingly, many large projects have also begun to turn to the stablecoin field, such as the Chinese e-commerce giant JD.com (you may not be familiar with it), which has announced plans to apply for stablecoin-related compliance licenses.
I personally think that the introduction of this wave of stablecoin policies is actually a positive signal for the entire crypto industry. So I especially want to talk about this topic. I would like to ask Flavio this question first - although it is not simple, I remember that you mentioned some unique views in Hong Kong before, so I especially want to hear how you understand this round of policy changes. Do you think this is a sign of industry progress, or a degree of 'regression'? The reason for asking this is because Gavin clearly stated in an interview that stablecoins are essentially centralized, which is contrary to the decentralized concept pursued by Web3. What do you think of this contradiction?
Flavio: When this question is raised, Luca may laugh, because I often say that I am a 'realist'.
In my opinion, the widespread adoption of stablecoins has become one of the key drivers of the development of the entire crypto industry. Some time ago, I saw a short interview with Tether's Paolo, and he said something I agree with: for users in developing countries, stablecoins are 'game changers'. They can significantly reduce transaction costs and also allow many people to have a truly 'stable' currency option for the first time.
From this point of view, I think the popularization of stablecoins is a positive thing.
Of course, when it comes to regulation, it's like politics, there will always be the problem of 'too much' or 'not enough'. The original intention of regulation should be to protect users, but in reality it often becomes a restriction or even strangulation of innovation, which is obviously not what we want to see.
As for Gavin's mention of 'stablecoins are centralized', he is right. But the question is, do I care? To be honest, I don't care too much. Because what the market needs now is liquidity, and stablecoins just solve this practical problem.
I have never believed that Web3 will 'be in place in one step'. We don't need to and can't achieve complete decentralization at the beginning. The most important thing right now is to build the underlying infrastructure, even if we need to use a centralized approach to solve the problem temporarily, it doesn't matter. When the technical conditions are mature in the future, we can gradually transition to decentralization.
In the final analysis, if a project is just 'decentralized for the sake of decentralization' but cannot truly solve the user's problem, then it is meaningless. And in reality, centralized architecture is often extremely efficient, which is why traditional finance can operate so smoothly.
So I don't think there is anything wrong with using Tether or USDC - if it weren't for them, our market might not even have developed to today's scale.
Kristen: Indeed, this kind of 'realistic convenience' may conflict with the ideal of Web3, but from the perspective of market development, it does make the industry easier to land, especially after the regulatory policies are gradually clarified.
Flavio: Yes, values are of course important, and we do need to work hard towards the Web3 direction. But we must be soberly aware that - Rome was not built in a day. We cannot abandon everything just to pursue an ideal goal.
Web3 is a business, not a charity. We need to use the most suitable tools and the most suitable partners to promote the development of things. It is not always possible to live in the aura of 'free spirit', which is not realistic.
Kristen: That's right. But at least we still have Bitcoin, which has more decentralized characteristics, and it is now starting to gradually enter the regulatory field of vision. To some extent, it may be able to balance the centralization trend brought by stablecoins.
Flavio: That's right, Bitcoin has now become 'digital gold'. The narratives around it have changed several times in the past few years, and to be honest, I can't figure out which version is popular now. But as long as everyone is still buying, especially if MicroStrategy doesn't explode, I can sleep well at night (laughs).
From Bitcoin to Polkadot: The next step for institutions to add positions in Web3?
Kristen: Haha, that's very well said. Then I would like to ask Wilhelm a question that I am particularly concerned about: now that countries have successively introduced regulatory policies on stablecoins, do you think this can help traditional financial institutions introduce funds into Web3 more smoothly? After all, this type of policy does reduce the barrier for fiat currency to enter the crypto world. Do you think this will bring a wave of capital inflows?
Wilhelm: I think you asked a very good question, and you can continue Flavio's sentence just now: 'Rome was not built in a day'. I would also like to add that there are many roads to Rome, and stablecoins are the most important one.
For traditional institutions, stablecoins are the 'buffer zone' for entering the crypto world - they bring familiar tools, such as custody services, clear accounting methods, stable pricing mechanisms, and also facilitate their liquidity management and risk hedging. At this level, stablecoins have become 'infrastructure-level' existence in the Web3 ecosystem.
For regulators, the key is 'simple enough to be understood and regulated' - this is the KISS principle (Keep It Simple, Stupid) often mentioned in the United States. Once regulators understand the mechanism of stablecoins, they will be more willing to release corresponding compliance licenses. When the stablecoin link is cleared, institutions will naturally follow up, because they can finally enter the market according to their own investment decision-making process. So I think this series of regulatory progress releases very positive signals.
Kristen: So are there any institutional investors who have already contacted you and expressed a strong interest in investing in Polkadot?
Wilhelm: Of course there are, and there are many types. We have contacted some flexible small asset management companies, and also maintained communication with some large institutions. Some of them focus on trading, and some are good at structured investment and financing. The current market is no longer discussing 'whether to invest in crypto' or 'which token to invest in', but has entered a more mature stage: demand already exists, and regulation is becoming clearer.
Looking at the recent support for crypto ETFs and ETPs in Europe and the United States, you can see this trend. Polkadot has also appeared in these product portfolios, indicating that institutions are already actively allocating. But it needs to be emphasized that this process will not happen overnight.
For example, the investment decision of a small hedge fund may only take one or two weeks, while a large institution may have to go through a whole set of processes such as risk control, legal affairs, compliance, and board approval. This means that we must have enough patience. The good show is yet to come, Polkadot's strategic layout has always been very solid, what we need to do is to maintain patience and professionalism.
Kristen: Yes, traditional institutions do things more steadily. But I noticed that many institutions didn't move in the past, but now they are starting to take action. Some are even developing long-term strategies for Web3 and Polkadot. Have you also observed this change? Especially after this round of stablecoin policy was introduced.
Wilhelm: You are right, I have indeed felt this trend is happening: more and more institutions are starting to 'seriously consider entering Web3' and set clear development roadmaps.
Historically, the entry of institutions has been gradually advanced - the earliest was Bitcoin that attracted attention, then Altcoins, then the rotation of DeFi, NFT, chain games and other different fields. In terms of policy, 'light regulation' or 'regulatory sandbox' is being promoted around the world, which is like a gate to guide institutions into the market. Now some institutions even hold stablecoins, although they may not say it publicly, but the market has already started quietly.
For example, JPMorgan Chase has launched its own stablecoin, and other private banks and wholesale banks are also trying it out. This shows that the door has been opened, but not all the people who walk in have appeared, and Polkadot is also on their inspection list.
Of course, we cannot wait for policy promotion, the ecosystem itself must be more mature. Especially in communication, we need to 'translate' the narrative of Web3 into a language that traditional finance can understand, so that they will truly feel safe and credible.
Flavio just said it very accurately: the key to the Web3 ecosystem is to find a balance between 'freedom' and 'security'.
For institutions, security is the premise; and for innovators, freedom is the motivation. We cannot sacrifice security to pursue the so-called 'absolute freedom', nor can we stifle innovation by over-pursuing compliance.
So to summarize:
Stablecoins are indeed a 'catalyst' for institutional entry;
Polkadot has become one of the infrastructures that are being focused on;
The next step is to use professional and clear methods to make these institutions understand, hear and dare to invest.
This is a long-term battle, but the direction is right.
Connecting the last mile between TradFi and DeFi, stablecoins are becoming the bridge of Web3
Kristen: Okay, next let's invite Luca to talk about it. What do you think of the release of this stablecoin regulatory policy? What positive impact will it have on Polimec's growth? For example, will it bring smoother deposit and withdrawal channels, the opening of more country markets, or attract more traditional financial partners to participate?
Luca: I think this is a landmark turning point, which can be summarized as 'regulation is about to land'. This is a very positive development for the traditional financial environment, because it provides a clearer operational framework for institutions. For example: how should these assets be classified? Can they be included in the balance sheet? What are the relevant risk assessment standards? Once these questions have clear answers, many doors that were originally closed will be opened.
As Wilhelm said, the decision cycle of large institutions is indeed longer, and many processes often take 6 to 24 months from start to finish. But this does not mean that they have not taken any action. In fact, although many institutions have not yet released products for the public, internal processes have already started, the key is: the cognitive structure of the entire market has changed, and this change in cognition will significantly enhance their confidence in the crypto asset category.
From the perspective of enterprises, with a regulatory framework, they can also use stablecoins to carry out daily business in compliance. This not only reduces their concerns, but also promotes the maturity of the entire service chain. The deposit and withdrawal problem you mentioned - indeed, after the regulation is clear, more compliant service providers will enter this field and seize market share. At present, the entire stablecoin market is far from saturated, for example, although USDT and USDC have high market share, they still cannot cover all usage scenarios. Therefore, new players and new mechanisms will continue to emerge, bringing products with lower fees and better experience.
For financing agreements like ours, this is a huge benefit. It not only makes it easier and cheaper for investors to obtain stablecoins, but also makes it more reassuring for traditional institutions to use these assets, because they know that this has been regulatory approved, at least for some stablecoins.
Kristen: Then how much do you think this wave of compliance can reduce the cost of using stablecoins?
Luca: My view is - costs will drop significantly. At present, the fee rates and spreads of many service providers are indeed high, on the one hand because their transaction volume is limited, and on the other hand because of compliance costs and risk control needs. But once scale is achieved in a compliant environment, and business can be carried out in multiple jurisdictions, the marginal cost will naturally decrease rapidly, which will greatly increase the attractiveness of institutional investment.
As Wilhelm mentioned, JPMorgan Chase has actually launched its own stablecoin JPM Coin, and built a private chain Kinexus, which has been tested and run for three or four years. It is said that the transaction volume of internal settlement alone has reached 2 trillion US dollars. So you can't assume that they haven't participated just because they haven't launched a certain on-chain product in the public market, they have actually been preparing for a long time. When the time is right, they will quickly occupy the market at a lower cost, and at the same time achieve considerable profits, which is a very attractive business model.
Kristen: I feel that the landing of USDC on Polkadot Hub will encourage more protocols like Hydration to integrate with centralized exchanges, and will also promote the popularization of stablecoins on the Polkadot network.
Luca: That's right, I am also looking forward to the incentives it brings. Through liquidity incentives, we can indeed attract more users to participate and make the entire ecosystem run more smoothly.
Flavio: This is essentially a problem of 'adoption rate'. Taking Polimec as an example, we now even allow stablecoins to be used to pay Gas fees. The more such 'abstraction' mechanisms, the better the user experience.
At present, fiat currency deposit and withdrawal is still one of the biggest pain points for users. For example, users often need to wait 24 hours or even longer to deposit fiat currency, and after the account is credited, they have to process on-chain asset conversion, which undoubtedly raises the threshold for use. And now, the bridge between traditional finance (TradFi) and decentralized finance (DeFi) has become more efficient and cheaper, which is a direction we value very much.
We are also indeed working on promoting new solutions, and new products will be launched in the traditional financial environment soon. Although incentives are important, our goal is not to rely on incentives, but to fundamentally solve the structural problems of users.
Kristen: So for ordinary users, when they pay with stablecoins, do they really know that they are using stablecoins? For example, in some scenarios, is the user's payment automatically converted into other currencies in the background?
Flavio: Yes, this scenario exists. For example, if a user pays transaction fees with USDT, the system will automatically convert USDT into an equivalent amount of DOT in the background to deduct the handling fee. But for users, all of this is imperceptible.
Users only care about two things: cheap and fast. As long as these two points are met, they will choose to use it. As for how the backend is processed, it is not their focus.
Therefore, we have always adhered to a principle in product design: the simpler, the better to use.
Original video: https://www.youtube.com/watch?v=HrkY2CIYTYo