The adaptation of decentralized finance (Case study: decentralized finance among Prague University Students)

Marwan Ibrahim

Master's thesis

Abstract:

This research project is created to analyze and investigate the level of adaptation of decentralized finance among university students in Prague. The Idea of the research originated because the current level of investments and market capital of decentralized finance is increasing day by day. With more users joining the decentralized finance sector, it is still not clear why there is such an increased number of decentralized finance investments and users and whether there is potential for decentralized finance to substitute traditional finance. So, the researcher decided to investigate whether university students in Prague universities are using decentralized finance, and if yes, what are they using it for. The data in the research was gathered through a literature review, and feedback from Prague students was gathered through questionnaires given out to students both online and in person. After conducting a detailed literature review about decentralized finance and collecting questionnaire feedback for over 120 university students in Prague, Czech Republic. The findings are that the majority of university students in Prague, over 81% percent know what decentralized finance is. And 46.2% of the university students in Prague did have a decentralized finance transaction in the past 2 years. 57% percent of the students in Prague use it as a form of investment rather than a currency for exchanging goods. Lastly, over 75% percent of university students in Prague believes that using decentralized finance as a form of investment, and conducting financial transactions will increase in the upcoming years. The findings from the literature review strongly suggested that people tend to use decentralized finance when they cannot rely on or trust their country’s traditional financial system. So decentralized finance does not fully replace traditional finance but acts as a potential substitute for traditional financial systems if it is not functioning well or there are issues with the traditional financial system. Which explains the reason why decentralized finance is only utilized as a form of investment in the Czech Republic and not as legal tender. As the local Czech Financial system is functioning well.

Keywords

Decentralized, Finance, Adoption, Blockchain, Prague, University, Students

Language used: English

Date on which the thesis was submitted / produced: 30. 11. 2022

Thesis defence

• Supervisor: doc. Ing. Vladimír Krepl, CSc.

Czech University of Life Sciences Prague

Faculty of Economics and Management

Master programme / field:
Economics and Management / Economics and Management