DeFi Hacks Happening Every Day; Institutions Are Still Coming
April saw some of the worst DeFi losses in recent memory, and even OpenZeppelin co-founder Manuel Aráoz warned people to get out. But while CT feels gloomy, institutions are not stepping back - they're leaning in with more diligence, stronger infrastructure requirements, and growing demand for onchain yield.In this livestream, Camila Russo is joined by John Zettler of Kraken, Sunand Raghupathi of Veda, and Anthony DeMartino of Sentora to break down what the latest hacks actually revealed: why many recent attacks look more like supply-chain and key-management failures than pure smart-contract exploits, why DeFi's next big challenge is operational security, and why that does not automatically kill the institutional DeFi thesis.They also unpack Kraken's new Bitcoin Vault, the rise of risk-curated vaults, why enterprises still see onchain finance as inevitable, and why fundamentals may be diverging sharply from price action. If you want the clearest view yet on whether DeFi is actually ready for institutions, this is the debate to watch.
Why Kraken Is Betting Big on Onchain Vaults | John Zettler & Sun Raghupathi
This week, we’re joined by John Zettler, Director of Product at Kraken and Sun Raghupathi, Co-founder of Veda, to discuss their collaboration to bring onchain vaults to Kraken! We explore the growth of onchain vaults, how vaults package DeFi lending and yield strategies, vault mechanics, risk management, business models, comparisons to past yield products, and implications for DeFi adoption and future TVL growth. Enjoy!
Resources
2026 Predictions Episode: https://youtu.be/yagd3CT2VQk?si=G1cFXBpODiWZ-pQR
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Follow John: https://x.com/JohnZettler
Follow Sun: https://x.com/sunandr_
Follow Jason: https://x.com/JasonYanowitz
Follow Empire: https://twitter.com/theempirepod
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Timestamps:
(02:45) What is a vault
(09:26) The Evolution of Vaults
(14:31) Vault Key Parties
(21:49) Vault Business Models
(29:14) Building Vaults with Coinbase and Morpho
(33:29) Vaults Today vs BlockFi & Celsius
(37:42) Bringing Vaults to Kraken
(39:55) Determining Yield & Adding More Vaults
(41:51) What made Yano Bullish on Vaults
(45:52) Behind the Scenes
(50:24) Vault Risks
(56:37) Morpho's Model vs Veda's Model
(57:59) Closing Comments on Vaults and DeFi TVL
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Disclaimer: Nothing said on Empire is a recommendation to buy or sell securities or tokens. This podcast is for informational purposes only, and any views expressed by anyone on the show are solely our opinions, not financial advice. Santiago, Jason, and our guests may hold positions in the companies, funds, or projects discussed.