Interview with Rachel Lin, CEO of SynFutures, Discussing DEXs and CEXs

As on-chain liquidity grows and decentralized exchanges gradually gain ground previously held by centralized platforms, the query shifts from whether DeFi can compete to how far it can advance.

Rachel Lin, co-founder and CEO of SynFutures, is at the forefront of this transition. With experience as a global markets executive at Deutsche Bank and as a founding partner at Matrixport, Lin combines traditional finance rigor with decentralized finance execution.

In this Q&A, she discusses why order-book DEXs are narrowing the divide with CEXs, the lasting impact of recent exchange failures on user trust, and the future evolution of on-chain markets from mere financial replicas to entirely new systems.

With on-chain liquidity deepening, how do you perceive the shift between centralized exchanges (CEXs) and decentralized exchanges (DEXs)?

Lin: We are witnessing a measurable shift in market dynamics. In Q2 alone, DEXs accounted for nearly $900 billion in spot volume, while CEX volumes saw a steep decline, leading to a record low in volume ratios. DEXs can now match the speed, depth, and execution quality that were once exclusive to centralized platforms.

What advantages does SynFutures offer over conventional CEXs?

Lin: SynFutures stands as the only truly decentralized order-book perpetual DEX, merging order book and AMM models for superior liquidity and trading efficiency, with matching and settlement conducted entirely on-chain. Efficient execution and capital efficiency are critical for derivatives, where fragmented liquidity and expiring contracts complicate matters. With quicker block times and adaptive risk management, markets can operate consistently even amid volatility. The benefits of transparent execution, permissionless access, and self-custody are becoming challenging for traditional CEXs to emulate.

What do you believe is the main factor driving users from CEXs to DEXs, especially regarding self-custody and transparent liquidity?

Lin: Self-custody plays a part, but the deeper catalyst is predictability. The crises involving Celsius and FTX have fundamentally altered how users assess risk. Over $11 billion lost by CEXs due to hacks and mismanagement (a sum far greater than losses from DeFi protocols) has users seeking liquidity, verifying executions, and retaining custody of their assets—all features that DEXs inherently provide.

Lin: In addition to transparency, our DEXs incorporate more security restrictions during market stress when liquidity diminishes. For instance, we isolate margins for pairs with insufficient liquidity and automatically adjust leverage when Open Interest exceeds certain thresholds. These user protection measures contribute to fostering user confidence over time.

In the face of increasing liquidity on DEXs, do you foresee CEXs becoming obsolete, or do they still hold a long-term role in the ecosystem?

Lin: I don’t anticipate CEXs vanishing overnight; however, their function is evolving. They are likely to remain crucial as fiat on-ramps, distribution avenues, and access points in various regions. We’ve already begun witnessing centralized exchanges integrating on-chain infrastructures, either by routing liquidity through DEXs or collaborating with DeFi protocols. This shift reflects traders’ movements and the core activities transitioning on-chain.

However, adding decentralized features to centralized infrastructure does not eliminate their foundational issues regarding trust, flexibility, and network effects. Unless centralized exchanges undergo significant transformations over time, they risk becoming mere access points and interfaces layered atop decentralized systems.

What key technological and regulatory challenges need to be addressed to realize on-chain borrowing, lending, and trading?

Lin: Technological barriers are diminishing swiftly with advancements in blockchain performance and infrastructure. Enhancements in latency, execution speed, and capital efficiency have already made complex products like derivatives feasible on-chain, paving the way for scalable lending markets. The upcoming phase focuses on refining aspects such as improved risk management, deeper cross-chain liquidity, and more user-friendly UX/UI to facilitate mass adoption.

Lin: As for regulation, the landscape is still evolving and fragmented. However, the inherent auditability of on-chain systems aligns well with regulatory goals. The challenge lies in ensuring that regulations recognize this transparency and automation as advantages. Regulatory clarity is essential, and many leading DeFi protocols are actively participating in policy dialogues to promote such changes.

How do you see traditional financial institutions adapting to a fully on-chain financial ecosystem, and do you anticipate any resistance from major players in TradFi?

Lin: On-chain systems present numerous advantages that traditional finance will find hard to ignore. In essence, blockchain serves as a transformative infrastructure technology that facilitates continuous settlement, reduces counterparty risk, minimizes operational costs, and has a global reach. It’s a race they can’t afford to lose.

Nonetheless, resistance will arise from legacy banking frameworks, and regulatory concerns may hinder adoption. However, as traditional institutions experiment with tokenized instruments, stablecoins, and blockchain-based credit markets, evident benefits will prompt market forces to sway resistance.

What do you see as the next significant innovation or breakthrough that will enhance on-chain financial services’ scalability and accessibility for the general public?

Lin: Numerous technologies are being developed with usability at the forefront. For instance, wallet and interface abstraction now allows email sign-ups, making decentralized finance more straightforward and accessible to everyday users. Essentially, users will no longer need to grasp the underlying complexities to reap the benefits.

The next step involves the convergence of these modular infrastructures. By enhancing interoperability across different chains, protocols, and liquidity pools, assets and users can transition more seamlessly, reducing fragmentation and creating a more intuitive experience.

There’s a growing narrative that tokenizing real-world assets (RWAs) is the primary focus for blockchain adoption in finance. Do you concur?

Lin: RWAs are significant, but they are just part of the equation. While tokenization can enhance access and efficiency in existing markets, the real innovation in DeFi will come from facilitating entirely new types of market structures and instruments that have not been seen in traditional finance.

That said, replicating traditional finance instruments at this stage is crucial; it demonstrates the permissionless and programmable features of blockchain and underscores the potential to design, launch, and trade new financial products on a global scale.

What is your view on the notion that the future of finance involves not just bringing traditional financial instruments onto blockchains, but also creating entirely new markets and assets that were once unimaginable in TradFi?

Lin: I wholeheartedly agree. Decentralized finance will achieve its most significant impact if it fulfills its innovative potential and diverges from traditional finance. The ultimate aim isn’t merely to transport Wall Street into DeFi, but to establish entirely new markets and assets. Blockchain provides inherent programmability and permissionlessness that traditional finance cannot match, allowing for the creation of markets around virtually any asset, index, or even identity.

What surprised you in 2025? And is there anything that concerns you about the sector as we approach 2026?

Lin: At its core, Web3 and DeFi have never been in a more favorable position. Scalability and speed are witnessing dramatic improvements, with high-performance chains like Monad achieving unprecedented transaction speeds, and fees falling to mere fractions of a cent.

With global regulators becoming more receptive to crypto, we observe users increasingly turning to DeFi, with decentralized platforms capturing new liquidity disproportionately. Unlike previous cycles, this shift isn’t merely driven by incentives but by trust in platforms that amalgamate transparency, risk controls, and reliable execution. As we head into 2026, the emergence of more chains and ecosystems will hinge on interoperability and user-friendly interfaces to ensure a smooth transition for DeFi into its next phase.

Overall, I hold a very optimistic outlook. There are clear indications that DeFi is becoming genuinely accessible to a wider audience: email onboarding, seamless bridging, the mainstream adoption of crypto cards, and rapid growth in stablecoin usage, among other trends.

SynFutures has been a leader in decentralized derivatives. As CEO, how do you foresee SynFutures evolving over the next five years?

Lin: In the coming five years, I envision SynFutures transitioning from a singular derivatives platform to a core infrastructure provider for on-chain markets.

From a product standpoint, we anticipate that globally traded, highly liquid RWAs will serve as a natural progression for on-chain derivatives. Our early advancements in RWA markets, such as gold and crude oil, are merely the first step. As settlement frameworks evolve, we expect a broader spectrum of RWAs to transition on-chain, with perpetual contracts emerging as the most efficient way to trade.

Equally essential is how these markets are established. Instead of attempting to control every interface, we’ve initiated a Builder Program to empower independent teams to leverage our battle-tested infrastructure while utilizing existing liquidity and risk management capabilities.

In 2026, we aim to launch the new SynFutures protocol mainnet, featuring quicker execution, lower fees, and a smoother, more CEX-like user experience on a perp-optimized chain, with upgrades crafted to bolster deeper liquidity and more stable trading.

We also plan to broaden our asset offerings (including anticipated stocks and index products), introduce mobile accessibility, and continue governance enhancements — with specifics subject to change as development advances.