Today in Decentralized Finance news, it’s a historic day as the total value of digital assets has surpassed $2 trillion for the first time ever.
We’re living in an unprecedented era for decentralized finance (DeFi). Today marks a historic milestone for the industry, with total value locked in digital assets surpassing a total of $2 trillion for the first time ever.
This monumental milestone shows just how far DeFi has come in its relatively short history, having only been around for a few years. What started as hobbyists and developers experimenting with new financial protocols is quickly becoming the leading edge of a global revolution in financial services.
DeFi is rapidly maturing and is being adopted by a growing number of traditional investors and institutions. With DeFi, anyone with access to digital wallet can use cutting-edge financial products, while users benefit from lower costs, higher levels of transparency, and improved accessibility.
Perhaps the most impressive thing about DeFi is its sheer meteoric rise in less than three years. In mid 2018, the total value of digital assets only totaled $2billion. Now, less than three years later, that figure stands at over $2 trillion! This shows the incredible growth that DeFi has experienced and is helping to transform the world of finance as we know it.
From traditional asset management to trading and investments, DeFi is enabling anyone with access to digital wallets to explore novel financial services. This can include anything from yield farming and decentralized exchanges, all the way up to complex automated market makers and insurance-type protocols. These products are providing access to new forms of investment, such as yield farming, allowing users to create their own forms of passive income.
DeFi is quickly becoming the dominant form of financial infrastructure, with access to products and services that were once only available to institutional investors and high net worth individuals. For example, decentralized exchanges, such as Uniswap, are providing access to trading products that traditional exchanges never could.
As DeFi continues to mature, the potential applications are only going to broaden in scope and popularity. We’re likely to see some big changes in the financial services industry over the coming months and years, and with the total value of digital assets now surpassing $2 trillion, it’s clear DeFi is paving the way for that transformation.
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