Woofun AI reports that a16z Crypto has published an analysis arguing traditional finance is not merging with decentralized finance but is instead selectively adopting blockchain technologies to meet specific operational needs. The firm contends that the primary driver for institutional adoption is commercial efficiency rather than decentralization, with institutions utilizing blockchain only when it reduces costs, improves settlement, or enhances distribution. a16z Crypto notes that TradFi is reshaping these technologies to fit institutional models, potentially leading to "programmable financial infrastructure" optimized for institutional constraints. Currently adopted technologies include atomic settlement for reduced counterparty risk, shared ledgers for lower reconciliation costs, programmable money for automated corporate actions, and repurposed automated market makers for on-chain pricing.