As blockchain technology seeps slowly into the traditional financial services ecosystem, it is offering new opportunities through tokenization and decentralized finance (DeFi). Today's episode of the Tearsheet podcast hosts Paul Brody, EY’s Global Blockchain Leader who shares his expertise on these developments. Paul is focusing on the promise of public blockchain and the challenges surrounding privacy. He is also the Chairman of the Enterprise Ethereum Alliance. Brody's unique roles provide a distinctive perspective on blockchain adoption in enterprises. Reflecting on his decade at EY, Brody explains, "One of the things I’m most proud of is how little our strategy has evolved. We’ve consistently believed in the value proposition of public blockchains." EY’s blockchain initiatives center around asset tokenization. It focuses on privacy-focused solutions and enabling enterprises to scale blockchain use effectively. Addressing misconceptions, Brody highlights a critical distinction. He says, "A lot of people don’t realize private blockchains have no privacy. They’re centralized systems without the benefits of a decentralized ledger." This belief underpins EY’s commitment to public blockchains, which he argues are the only viable path for enterprises. The big ideas 1. Tokenization is transforming B2B transactions. “Every transaction comes down to tokenizing money, tokenizing the stuff. And automating the terms via smart contracts,” says Brody. 2. Public blockchains offer a compelling value proposition. “Private blockchains have no privacy,” Brody explains. He emphasizes the importance of decentralized, public systems for scalability and security.   3. Privacy is essential for enterprise adoption. Brody highlights the need for privacy layers. He states, “Enterprises require privacy to share sensitive information securely on public blockchains.” 4. DeFi innovation is influenced by market conditions. Brody observes, “Lower interest rates make decentralized finance tools much more appealing. They do so by doubling potential returns compared to traditional options.” 5. Regulatory clarity will drive enterprise adoption. “The true race begins once the rules are clear. Until then, enterprises will hesitate to commit fully to blockchain-based solutions,” Brody asserts.