Putting a cap on decentralization: How regulation impacts DeFi adoption
As legislation threatens to allow centralization to creep into the DeFi space, regulation could have complex effects on the adoption. Decentralized finance (DeFi) is shaping up to be one of the most important sectors within the blockchain industry. In just the last two years, DeFi's total value locked (TVL) — the total value of assets locked into various DeFi platforms — has steadily increased from $21 billion at the start of the year to over $100 billion today.DeFi represents a wide range of financial products and services, including the all too popular decentralized exchanges (DEX).....
Related News
An increase in regulation has also been met with an adoption of Bitcoin on a wider scale, but what are the impacts of regulation on the industry?
Jerome Powell acknowledged that DeFi will start to reach more retail customers, highlighting the need for regulation. United States Federal Reserve chairman Jerome Powell has spoken out about the expansion of decentralized finance (DeFi) and its impact on the traditional finance ecosystem, calling for appropriate regulation.During an event titled the “Opportunities and challenges of the tokenisation of finance” hosted by the Banque de France on Sept. 27, Jerome Powell said there were “very significant structural issues around the lack of transparency” in the DeFi ecosystem.The comments....
Samson Mow, the former chief strategy officer at Blokstream and founder of JAN3, believes that most decentralized financial (DeFi) protocols can’t compete with Bitcoin when it comes to building an effective monetary network due to their lack of decentralization. Samson Mow Says DeFi Can’t Compare To Bitcoin Because of their lack of decentralization, Samson Mow, […]
While it may be one of the most popular sectors within the crypto market, decentralized finance still has barriers to overcome before reaching mass adoption. Decentralized finance (DeFi) is a growing market popular with experienced crypto users. However, there are some roadblocks regarding mass adoption when it comes to the average non-technical investor. DeFi is a blockchain-based approach to delivering financial services that don’t rely on centralized intermediaries but instead use automated programs. These automated programs are known as smart contracts, enabling users to automatically....
DeFi has brought several new functionalities to the crypto world. From crypto mining to yield farming, everything has been optimized through the integration of blockchain technology and DeFi applications. We can see more and more platforms utilizing this tool to develop unique services and products to promote decentralization and adoption of financial services in the […]