What's Next For DeFi?

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What's Next For DeFi?

DeFi stands for Decentralized Finance and has been one of the fastest growing areas of cryptocurreny. It's also projected to increase even more rapidly over the next few years as we advance the systems and build better trust within them.

Within just a year we saw DeFi TVL go from a few million to just shy of 100 billion. With that growth we found a number of issues with existing platforms, scams etc. From that we are now building new infrastructure in the DeFi space and things are primed for the next mass rally.

Some DeFi platforms are https://cubdefi.com and PancakeSwap

DeFi Next Steps

Over the next 5 years DeFi should see dramatic growth in not only TVL but applications, regulatory compliance and overall use. Yes, regulatory compliance because nearly ALL of these DeFi platforms end up using a stable coin within Farms in order to tie the two together and provide liquidity to the platform.

We will also see a massive increase to Peer to Peer lending and loans which will allow bypassing of strict requirements of banks and offer faster access to funds.

As this grows increased pressure will be brought on banks and government which will push towards regulations but also what is known as a CBDC (Central bank digital currency)

While we don't have these yet (all but China) there is a huge push for governments to setup and release their own digital currencies on to the block chain. These currencies will be heavily monitored and tracked the complete opposite of what Bitcoin was invested for. However a fully digital CBDC currency for each country will provide those governments with the following.

  • Faster transfer of money
  • Easier access to funds
  • No more expensive banks, vaults, printing of money and transporting of money
  • Ability to FULLY track the movement of all funds

When you look at that in a government standpoint it makes clear sense that this is the next step for them.

While this does remove all anonymity for cryptocurrency it is the wave of the future that would allow total global adoption and with that a flood of new money but also money that would be fully tracked and tied to governments. You'd most likely see the days of 90% APR disappear and instead banks having more control offering much lower percent while collecting a bulk of the funds themselves as they currently do in the banking system.

Personally this is a directly I don't want to see but when you connect the dots and a 5 year plan this is the most likely scenario to actually happen.

Posted Using LeoFinance Beta



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It is sad but this is the direction we are headed!
Many people will sadly welcome these CBDCs thinking they are "good" because are issued by banks!

We have a majority of people who have been brainwashed to think that the government has their best interests at heart.

Anyway, let us wait for what will happen in the next years.

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