Total value (TVL) locked in Decentralized Finance (DeFi) protocols 32 billion dollars and rose to an all-time high.
But some commentators continue to stress that DeFi is still in its early stages. A similar opinion was recently voiced by Qiao Wang of DeFi Alliance.
Kinda sad that it’s no longer considered “early” to be in Bitcoin.
But happy that it’s still extremely early to be in DeFi.
— Qiao Wang (@QwQiao) February 3, 2021
However, many feel that the area will be in greater demand in the near future. One of them is Sergey Nazarov, founder of leading DeFi oracle Chainlink (LINK):
“As more breaches of contract emerge, such as with Robinhood, the need for reliable contracts that go beyond a brand’s paper commitments will be largely in demand.”
DeFi provides users with reliable contracts by combining blockchains, smart contracts and oracles. In addition to the growth mentioned above, decentralized exchanges (DEX) also saw a large increase in trading volumes. According to data compiled by OKEx Insights, the weekly average transaction volume on DEXs increased by 10% and was recorded at $ 197 billion. Uniswap constituted a significant portion of this 37%.
James Todaro, founder of digital asset investment firm Blocktown Capital, is also one of the top names in DeFi. Todaro noted:
“DeFi enables only you and the hardened code to have full control of your money.”