DeFi Is Not Dead, Stated Andre Cronje

Andre Cronje, one of the greatest developers in decentralized finance (DeFi), published a new article on his medium page discussing the current DeFi market, rebutting the view that DeFi is dead due to its low yield compared to the higher interest provided by the real-world assets such as U.S. Treasuries. The main points in his article include:

1. The yield on $ETH, $DAI, $USDC, and $USDT is driven by lending markets and trading fees;
2. The behavior of lending markets varies in a bear market and a bull market, leading to changes in the real yield of stablecoins and cryptocurrencies;
3. The current market is in a low volatility phase of a prolonged bear market, causing a low point in real yield;
4. The author disagrees with the statement that high yields are gone and DeFi has seen zero growth, stating that Defi has grown substantially over time. Defi is the trend and does not need a new narrative;
5. He mentions the need for regulated crypto to exist for Real World Assets (RWA) projects to succeed;
6. He highlights regulatory frameworks, auditing tools, Layer 1 throughput and scalability, and Layer 1 account UX and social recovery as the focus for the Fantom Foundation;
7. He states that Defi and other blockchain verticals are here to stay but limited by the current state and access of the underlying technology;