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In this episode of Web3 with FTC by Fintech Confidential, Tedd Huff speaks with Annelise Osborne, Chief Business Officer at Kadena and author of From Hoodies to Suits, a book that helps professionals understand how blockchain applies in traditional finance. With more than two decades of experience in structured finance, capital markets, real estate, and blockchain, Annelise provides practical input on how financial systems are adjusting to stablecoins, tokenized securities, and blockchain-based tools. Tedd guides the discussion by sharing use cases from his time as an Advisor and now the CEO at Voalyre, and raising important questions about regulation, adoption, and security.

Stablecoins are now being viewed as a practical tool for financial operations rather than a speculative trend. Their ability to support faster and cheaper cross-border transactions is creating interest from institutions looking to modernize outdated systems. “Stablecoins are going to be the gateway product to get you from traditional finance to decentralized finance,” Annelise said. By removing intermediaries, these tools offer cost savings and reduced processing times. The design of these assets also aligns well with treasury and compliance demands, particularly in high-volume environments.

The use of tokenized funds and securities is showing potential to broaden access to financial products previously limited to institutional investors. Tools like programmable money market funds and structured products offer new ways to manage risk and streamline fund operations. “They’re actually using blockchain for capital markets and for use cases beyond just investments,” she explained. These assets allow greater precision in reporting and can automate functions that once required multiple touchpoints and manual review.

Regions with established financial regulations are taking the lead in launching tokenized instruments. European markets are already running on-chain bond offerings and using blockchain-backed tools to handle settlements. “Europe has embraced this and really is taking the lead in tokenizing real-world assets and tokenizing bonds,” Annelise pointed out. These examples show that with the right legal support, blockchain can operate at institutional scale without disrupting existing processes.

A key factor in the advancement of blockchain tools is the increasing regulatory clarity across multiple jurisdictions. Institutions are responding to rule changes and reversals that shift the perception of legal risk. “It was a very gray regulatory environment, and now there’s this sea change, especially with the recent approval of Bitcoin ETFs and what the SEC is doing,” she noted. Instead of waiting for perfect conditions, more firms are launching pilot programs and reassessing previous decisions that paused blockchain initiatives.

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The education gap remains a central barrier to adoption. Many executives and decision-makers are not equipped with the knowledge required to approve or support blockchain implementations. “Education is the biggest barrier to adoption,” Annelise stated. Without a shared understanding of the technology, efforts to integrate it often stall. Clarity around core functions, supported by external validation and successful case studies, is helping to bridge that gap.

Hiring trends in finance show a steady increase in blockchain-focused roles, often under general titles. These positions aim to bring in technical skills without signaling major shifts in strategy. As more companies look for blockchain experience in legal, compliance, and operations roles, the talent pool is adjusting to meet institutional standards. “If you’re thinking about how you can participate, start getting educated. There’s so much opportunity,” said Tedd.

Real estate remains a popular topic in blockchain discussions, but its complexity poses a challenge. Tokenizing physical assets involves navigating multiple legal and jurisdictional issues. While fractional ownership models can improve access, the mechanics of custody, reporting, and investor protection must be addressed to avoid the failures seen in early-stage crowdfunding platforms. “Everybody wants to own a piece of real estate. So real estate, it’s sexy, it’s tangible, you can go see it,” said Annelise.

Stablecoins used by major platforms are shifting how business operations are structured. These tools allow for real-time transfers and automated reconciliation across departments, making them attractive to financial and operational leads. The private use of stablecoins in internal processes is growing, supported by their alignment with existing treasury goals. “You’re seeing PayPal, Visa, and MasterCard all trying to get into the space,” said Tedd.

Digital identity is becoming a required component for any blockchain system that expects to meet regulatory standards. Verification without exposing full identity data is key to balancing privacy and compliance. Frameworks under development in regions like the EU are shaping how identity is tied to on-chain activity, especially in areas like payments and asset transfers. “There has to be identity, and we don’t need to know who, but we need to know that they’re a person, and they’ve been KYC’ed,” Annelise explained.

Traditional finance and decentralized finance are no longer in direct opposition. Many financial institutions are incorporating blockchain elements into their existing systems. This approach uses the reliability of regulated environments while benefiting from blockchain’s efficiency and programmability. “TradFi and DeFi are converging,” said Tedd. It reflects a practical shift rather than a complete departure from legacy models.

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Job growth in blockchain-related positions indicates that firms are not just experimenting. They are planning long-term resource allocation around blockchain functions. Roles are evolving from exploratory to operational, with internal teams being tasked with maintaining and expanding blockchain systems across different departments. “You’ve got BlackRock, you’ve got Fidelity, all the large institutions have a blockchain group,” Annelise observed.

Backend use of blockchain in payments is gaining traction. The ability to improve internal processes without changing the customer experience is a driving factor. Large companies are integrating blockchain without promoting it as a feature. This silent adoption reflects how the technology is functioning as infrastructure rather than a customer-facing product. “It’s going to be backend infrastructure,” said Annelise. “It’s going to make our world faster and more efficient.”

Security and privacy concerns are influencing how blockchain systems are designed. Institutions are looking for ways to gain transaction-level visibility without compromising sensitive data. Tools like zero-knowledge proofs are being considered, though not yet widely implemented. Compliance demands are shaping how privacy layers are built into future systems. “How do we make sure that we know who’s sending and receiving and protect it?” Tedd asked.

The financial sector is approaching blockchain adoption through cost analysis and operational testing. Stablecoins, tokenized products, and identity verification are entering systems not because of hype, but because they align with goals already in place. This movement reflects a shift from concept to infrastructure, where performance and compliance are the benchmarks that matter. “This is the next step. It doesn’t happen overnight,” Annelise concluded.

TLDR:

Stablecoins are quietly replacing wire transfers, tokenized funds are lowering investment barriers, and financial institutions are testing blockchain behind closed doors. This breakdown cuts through the noise to show how real companies are using blockchain tools to move money faster, reduce risk, and unlock new markets. Learn what’s working, what’s failing, and what’s coming next. From identity security to payment speed to internal adoption trends, every insight connects to a real business move you can watch for or act on. Perfect for anyone tracking blockchain, tokenization, or stablecoin adoption in regulated markets.

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Key Highlights:

Banks Are Testing in Secret

Several major financial institutions are running blockchain pilots behind the scenes. These programs are not always disclosed publicly and often operate under strict internal policies. The reason is tied to internal risk assessments, compliance teams, and market positioning. While public statements remain cautious, internal departments have started building the technical infrastructure required to integrate blockchain with traditional asset systems. Most public-facing applications are still limited, but private-ledger testing and stablecoin sandboxing show significant movement.

Stablecoins Are Beating Wire Transfers

Cross-border payment systems that traditionally relied on multiple intermediaries are seeing quiet disruption from stablecoins. Their use has reduced transaction times from days to minutes in some sectors. The shift is gaining attention from treasury departments and operations leads due to the operational savings. Institutions are finding fewer friction points and gaining more accuracy in settlement. This shift isn’t being led by crypto startups, but by internal financial departments with mandates to cut cost and time inefficiencies.

Tokenized Bonds Win the Race

Tokenized fixed income products are seeing faster adoption than cryptocurrency-based financial instruments. Institutions find these easier to integrate with compliance frameworks and internal accounting systems. These products are structured to match traditional reporting standards while offering programmable features. The reliability of their returns and the familiarity of the asset class make them a more acceptable option for compliance officers. Regulatory clarity in jurisdictions like the EU has pushed these products ahead of more volatile blockchain investments.

Wall Street’s Blockchain Hiring Playbook

Recruitment for blockchain roles in traditional finance has increased significantly, but many of the job titles do not include the word blockchain. Companies are hiring under roles like “Digital Asset Strategist” or “Alternative Asset Manager.” This tactic avoids attracting attention while allowing teams to build out infrastructure for future deployment. Recruiters are using industry-specific networks to source talent with technical knowledge in blockchain, compliance, and market operations. The change signals that firms are preparing for deployment even if public messaging remains conservative.

Why Token Crowdfunding Flops

Attempts to use tokenization for crowdfunding have not produced the expected results. Despite improved technology, most offerings struggle due to poor asset selection and lack of investor protections. Platforms often prioritize speed over due diligence, leading to underperforming portfolios. The gap between what technology can offer and what financial compliance requires is not being addressed adequately. As a result, token-based crowdfunding models are seeing limited institutional support unless paired with regulated frameworks and experienced asset managers.

Digital ID Moves Faster Than Crypto

Identity verification standards are being pushed into blockchain systems faster than payment functions in some markets. Governments and private firms are racing to build interoperable identity systems. The ability to verify identity without disclosing full personal data has become a critical requirement. Use cases extend beyond finance into healthcare, education, and cross-border work verification. However, adoption is inconsistent. Regions with strong central regulation move faster, while others face fragmented systems. The race is on to create identity protocols that balance security with privacy.

Most Real Estate Tokens Fail

Real estate is often seen as an ideal use case for blockchain, but execution continues to fall short. Token projects frequently suffer from asset illiquidity, regulatory bottlenecks, and investor mistrust. The underlying assets are complex, with multiple legal layers that don’t translate easily into token formats. Without strong partnerships with experienced asset managers and legal support, most of these projects fail to scale. The market is cautious due to previous failed attempts that left participants with losses and little recourse.

DeFi and TradFi Are Merging

Decentralized finance was once pitched as a replacement for traditional systems, but operational constraints have forced both to meet halfway. Financial tools in DeFi now mimic structured products found in banks, while banks integrate on-chain features for internal functions. Risk departments in traditional firms are using metrics from both systems to assess exposure. This mutual adjustment is reducing friction between the two groups. Instead of conflict, firms now treat each other as complementary tools depending on scale, asset class, and audience.

PayPal’s Stablecoin Is a Warning

PayPal’s decision to launch a stablecoin is not about consumer demand but operational control. The shift allows the company to reduce reliance on external banking networks for global settlements. It also enables on-chain verification without disclosing proprietary business metrics. This signals a shift where large platforms will start using blockchain not for public visibility, but for backend efficiency. The decision has implications for other payment processors and could reshape how value moves behind consumer-facing apps.

Regulators Are Quietly Reversing Course

Recent reversals in high-profile regulatory actions have had a measurable impact on institutional interest in blockchain. These changes reduce legal risk and allow firms to re-engage in projects that were paused or terminated. Legal departments in financial institutions are using these rulings to revise policy stances. This activity is not widely reported but is visible through resumed hiring, reopened research budgets, and strategic partnerships with blockchain infrastructure providers. The confidence boost is translating into real project movement within regulated markets.

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Takeaways:

1️⃣ Stop Ignoring Payment Speed Gaps

Test stablecoin transfers for time-sensitive payouts or cross-border settlements and compare results to your current methods.

2️⃣ Fix Identity Before Scaling Blockchain

Build or choose tools that support identity verification without exposing personal data to meet growing compliance standards.

3️⃣ Use Tokenization to Cut Minimums

Offer structured investment products through tokenized formats to lower entry points and expand your investor base.

4️⃣ Adopt Blockchain Quietly in Ops

Run pilot programs internally without public rollout to test integration, compliance, and workflow automation.

5️⃣ Track Real Hiring, Not Headlines

Follow blockchain job growth in finance sectors to gauge where institutions are quietly building long-term capabilities.

Links:

Annelise Osborne

LinkedIn: https://www.linkedin.com/in/annelise-osborne-7611176/ 

Twitter/X: https://x.com/anneliseosborne 

Book: From Hoodies to Suits: Innovating Digital Assets for Traditional Finance https://amzn.to/43pZwcb 

Kadena

Website: https://www.kadena.io/ 

LinkedIn: https://www.linkedin.com/company/kadena-llc 

Twitter/X: https://x.com/kadena_io 

Facebook: https://www.facebook.com/KadenaBlockchain/ 

Instagram: https://www.instagram.com/kadena.io.kda/ 

YouTube: https://www.youtube.com/kadenablockchain 

Telegram: https://t.me/kadena_io 

Fintech Confidential

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Podcast: https://fintechconfidential.com/listen

Notifications: https://fintechconfidential.com/access

LinkedIn: https://www.linkedin.com/company/fintechconfidential

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About The Guest:

Annelise Osborne | Chief Business Officer | Kadena

Annelise Osborne is the Chief Business Officer at Kadena. She leads strategic business initiatives and partnerships, bringing over 20 years of leadership experience in finance, real estate, and digital assets. Annelise has previously served as COO of Propellr, where she helped build regulatory-compliant digital assets, and as Head of Institutional at Arca Labs, where she led blockchain-focused partnerships. Her career also includes 12 years at Moody’s, further cementing her role as a key figure in financial services. She is also the author of From Hoodies to Suits: Innovating Digital Assets for Traditional Finance, a book that explores how blockchain intersects with traditional finance systems.

Kadena

Kadena is a scalable Layer-1 Proof-of-Work blockchain platform designed to support institutional and enterprise adoption. Founded by former JP Morgan blockchain engineers, Kadena addresses major industry challenges including high gas fees, security vulnerabilities in smart contracts, and limited scalability. With its Chainweb architecture and Pact smart contract language, Kadena enables fast transactions, low fees, and safer code. The platform supports applications in DeFi, gaming, NFTs, and enterprise use cases, and is uniquely positioned as a blockchain built for business.

About the Host:

Tedd Huff: 

Tedd Huff is the Founder of Voalyre, and Diamond D3, professional services consulting firms focused on global payments and marketing. He is also a video podcast host and executive producer on the Fintech Confidential network.

Over the past 24 years, he has contributed to FinTech startups as an Advisory Board Member, Co-Founder, and Chief Experience Officer, providing strategic and tactical direction for Global Payments OpenEdge, Heartland Payments, Nuvei, and TSYS, among others, focusing on growth while delivering innovation, process improvements and user experience-driven value to simplify the complexity of payments.

DD3, Media: 

DD3 Media is a media creation, management, and production company delivering engaging content globally

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