Articles filed under

DeFi – Decentralized Finance

372 articles
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June 2023

Why G7’s proposed crypto regulations will be bad for DeFi

FATF’s travel rule is looming over the crypto industry as an existential threat, writes Jack Jia of Unlimit. Here’s why it’s especially worrying to DeFi and self-custody wallet users.

What’s holding back DeFi and keeping the masses away

DeFi has the potential to revolutionize finance, but hacks, poor user experience, and a lack of a regulations make many wary, writes Arthur Firstov of Mercuryo.

May 2023

How NFT-financing can reshape the landscape of lending and borrowing

NFT-backed lending and borrowing can unlock liquidity and expand investment opportunities. Here are the best practices — and risks.

Why are so many VCs and startups flocking back to banks?

The collapse of Silicon Valley Bank and others led to predictions of big shifts away from centralized finance. James Wo examines why that hasn’t happened yet.

How DeFi can keep out bad apples while upholding crypto’s core ideals

Crypto users need not fear the increasing KYC/AML requirements around the world and loss of privacy, writes Kurt Hemecker of the Mina Foundation. Here’s why.

April 2023

Hacker exploits old Yearn Finance contract, steals $11.6 mln in stablecoins

A hacker took advantage of an old contract from Yearn Finance on Thursday to steal US$11.6 million in stablecoins.

How decentralized limit orders can transform crypto trading

On-chain limit orders offer an alternative to centralized exchanges by improving transparency and security, writes Ramani Ramachandran of Dfyn. What are the drawbacks?

The Web3 dilemma of data transparency vs. the need for user privacy — and a way to solve it

Storing personal information in a centralized place has been a honeypot for hackers, while decentralized identity allows for greater trust and data security, writes Caria Wei of Nuvo.

DeFi has a trust gap. What can rebuild its credibility?

Traditional institutions are testing crypto waters, but given last year’s market carnage, it’s not easy to gain their confidence, writes Simon Schaber of Spool.

The TradFi vs. DeFi rivalry is hitting a new peak — and that’s bad for everyone

Amid the current banking crisis, each side is exhibiting disdain for the other when neither holds the moral high ground, writes Rachel Lin of SynFutures.

March 2023

Centralized intermediaries were cause of crypto failures in 2022, says Voorhees

If there was a lesson from the crypto implosions of 2022, it is the demonstration of the superiority of open code and decentralization over central intermediaries, argues Voorhees at DC Blockchain Summit.

Banks are bringing systemic risks to crypto, says Circle’s Disparte

The recent U.S. bank failures are proof that the banking system is introducing systemic risks to the crypto industry, not vice versa, says Circle chief strategy officer Dante Disparte.

Euler Finance loses nearly US$200 mln in exploit

Euler Finance, a decentralized finance lending protocol has lost approximately US$197 million in an exploit, according to online crypto security analysts.

Why global coordination on crypto regulation is paramount

In the race to tame crypto’s excesses, we need to avoid regulatory clashes while DeFi draws lessons from TradFi, writes Rachel Lin of SynFutures.

What Web3 must do if it wants to attract 1 billion users

Web3 is growing more rapidly than the early internet, writes Ken Timsit of Cronos Labs. But to achieve mainstream success, the following issues must be addressed.

Liquid staking TVL surpasses lending, becomes the second-largest among DeFi services

The total value of crypto assets deposited in liquid staking protocols rose to US$14 billion, surpassing lending services before Ethereum’s Shanghai update. 

February 2023

Crypto exchanges face an existential challenge. What can bring users back?

Amid the rubble of FTX and other centralized exchanges, cross-chain technology and on-chain trading offer more trustworthy alternatives, writes Simon Harman of Chainflip.

Centralized crypto exchanges are dying, so long live centralized crypto exchanges?

Multi-billion dollar bankruptcies, fraud allegations, scandal, and plunging cryptocurrency prices in 2022 all characterized why investors came to distrust centralized exchanges. Yet, some commentators expect platforms to become ever more centralized … and regulated.

DeFi Recovery Soon?

Lenders in the crypto sector are optimistic about DeFi’s recovery this year – but why is that?

CeFi, DeFi, CoFi?

CeFi and Defi are terms you’ve probably heard of before. But what exactly is CoFi, and how could it fulfil crypto’s promise of helping investors take back control of their finances?

Why the crypto sector needs radical transparency in the post-FTX world

Self-custody is cumbersome and carries risks of seed phrases getting lost, but how can we ensure if a third-party custodian can be trusted?

What is CeDeFi, and why it is the future of finance

CeDeFi offers the benefits of CeFi and DeFi without their shortcomings, writes Alexander Tkachenko of VNX. Here’s how it works.

Why DeFi remains niche and what might get it out of its market rut

DeFi is still a Wild West, and many would-be users are wary of its lawlessness and anonymity. Could decentralized IDs foster greater trust and growth in the sector?

Islamic Crypto Finance

Islamic finance has seen growth in a time where most of the world’s economy has suffered losses. How could its integration into crypto help the industry?

Bitcoin mining fund soars as BTC powers into 2023

Top blockchain and crypto news: BTC mining ETF outperforms. SBF under pressure as accusations mount. ‘China’s Instagram’ embraces NFTs.

January 2023

Valkyrie’s WGMI Bitcoin Miners ETF named best-performing U.S. fund, surges 105% in 2023

Valkyrie’s Nasdaq-listed Bitcoin Miners exchange-traded fund (ETF), WGMI, has been the best-performing fund of 2023 so far, rising over 105% throughout January.

A crypto regulatory storm front is coming in 2023. Are we ready for it?

Laws to prevent another FTX blowup, crackdowns on crypto tax cheats, and a ruling on Ripple are likely imminent. A bull’s eye is also on DeFi, writes Gergo Varga of SEON.

Crypto’s data problem: Rebuilding trust in a trustless environment

Price is the wrong measure of Web3’s true value, writes Angie Lau, editor-in-chief of Forkast. To recover from Crypto Winter, we need metrics that are less prone to whims and manipulation.

How DeFi can overcome the stench of shitcoins and ponzinomics

DeFi Summer has cooled into Crypto Winter, but with a silver lining — investors are finally asking sensible questions like: ‘Where does the yield come from?’ writes Julian Koh of Ribbon Finance.

CBDCs may drive more funds into DeFi protocols, says Immunefi’s Mitchell Amador

Immunefi founder Mitchell Amador believes the future security risks of CBDCs will highlight the benefits of DeFi.

Will crypto’s decentralized application layer boost mass adoption in 2023? 

ChainSafe’s Aidan Hyman believes that crypto’s fully decentralized application layer may finally be complete in 2023.

CeFi regulation may create an advantage for DeFi, Bitcoin.com CEO says

Dennis Jarvis of Bitcoin.com believes the incoming regulatory crackdown on CeFi may tip the scales in DeFi’s favor next year.

December 2022

No change in community banks’ view of crypto after FTX’s collapse, says ICBA’s Brian Laverdure

ICBA vice-president Brian Laverdure believes that community banks are unfazed by FTX’s collapse, but remain split on cryptocurrencies.

Decentralized exchanges could gain popularity following the FTX collapse

Ethan Buchman of Cosmos believes that 2023 may be the year of decentralized exchanges and more advanced cross-chain applications.

What the FTX collapse means for the future of crypto

Centralized exchanges releasing ‘proof of reserves’ is not enough to win back users, while improving user experience will be key, writes Holger Arians of Banxa.

Hong Kong Stock Exchange debuts ‘Asia’s first’ crypto futures ETFs

Hong Kong launched two exchange-traded funds (ETFs) tracking cryptocurrency futures on Friday, the first of their kind in Asia, the local exchange said.

Hong Kong’s race to launch first crypto-linked ETF begins

Three Hong Kong-based asset management firms have applied for exchange-traded funds (ETFs) tracking Bitcoin and Ethereum futures for retail investors.

DeFi regulation: it’s not a matter of if, but when

The push to regulate DeFi is stronger than ever, and the sector would be wise not to fight but participate in that inevitability, writes Michael Shing of XREX.

Telegram plans decentralized crypto exchange, wallets following FTX collapse

Telegram plans to build non-custodial wallets and decentralized exchanges for cryptocurrencies following the collapse of the FTX exchange says CEO Pavel Durov.

November 2022

CeFi vs DeFi

FTX’s collapse has now led to another crypto service filing for bankruptcy. Could this be the end for centralized exchanges?

CeFi must adopt DeFi’s transparency following FTX collapse, Justin Sun says

Justin Sun says CeFi must adopt DeFi’s transparency to regain public trust as 1inch Network cofounder Sergej Kunz sees crypto’s struggles as an opportunity for DeFi.
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Making DeFi Fairer

Why does making the most of the crypto ecosystem remains out of reach for many?

Blockchain is transforming capital markets, and Singapore is leading the way: Opinion

Asset tokenization and DeFi hold tremendous potential for the finance sector, writes Han Kwee Juan of DBS Bank. Here’s how the Singaporean government is at the forefront of change.

Question: How do financial rules work when rogue individuals run companies? Answer: Not very well.

Calls for tougher rules on cryptocurrency have been echoing ever louder through the offices of global financial regulators since the collapse of the FTX exchange. But the firm did not invent dodgy business practices, so what can regulators and the industry do?
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Tornado Cash developer Alexey Pertsev to remain in jail until February

Alexey Pertsev, a developer of the now-sanctioned crypto mixer Tornado Cash, has been ordered to stay in jail until Feb. 20 at least.

Vitalik Buterin sounds warning over risks of DeFi

Ethereum cofounder Vitalik Buterin has sounded a warning against the pitfalls of decentralized finance (DeFi) and self-custody, namely of bugs in smart contract code.

DeFi’s real estate revolution: The rise of tokenization

The tokenization of property in DeFi differs greatly from the securitization that led to the global financial crisis. In this introductory part of a special series of three articles, Forkast looks at the origins of the phenomenon, what’s new about it, and the promise it holds for investors.

FTX is crypto’s Lehman Bros. moment. What happens now?

Unlike the 2008 crash, the government won’t be bailing out FTX’s investors, writes Nick Saponaro of Divi Labs. Will regulators see this as a cue to crack down on exchanges?

Why DeFi is in dire straits — and what could save it

DeFi remains unusable for all beyond a niche community, writes Dennis Jarvis of Bitcoin.com. ‘Should it stay like this, it will never attract a wide audience.’

DeFi still has a long way to go before mass adoption

Decentralized finance will stay niche unless the sector overcomes its myriad problems, including a lack of a credit system and regulations that inspire greater trust, writes Brian Pasfield.

How soulbound tokens can lift billions of lives around the world

What are soulbound tokens, and how can they end the ‘credit paradox’ that has been holding back the unbanked masses? Fakhul Miah of CreDA explains.

Singapore lender DBS explains its DeFi experiments, plans

DBS, the largest bank in Southeast Asia, said it tested trading of foreign exchange and government bonds using permissioned decentralized finance (DeFi) liquidity pools on a public blockchain as part of the city-state’s Project Guardian exploration of blockchain in finance.

DBS bank says it tested blockchain DeFi protocols for forex, bond transactions 

The bank is in the center of developments shepherded by the Monetary Authority of Singapore to explore digital financial technologies emerging around blockchain.

October 2022

Hong Kong seeks to allow crypto futures ETFs

The city is seeking to allow digital asset-based exchange-traded funds (ETFs) to be publicly listed and traded in the city.

How Europe’s MiCA can pave the way for crypto’s revival

Europe’s new MiCA framework for regulating crypto shows the good that can happen when government works with and not against the industry, writes Nick Saponaro of Divi Labs.

South Korea’s MIR4 maker Wemade launches stablecoin

WEMADE, a South Korean blockchain game developer, recently launched its stablecoin, WEMIX$, for growing its blockchain ecosystem, which houses NFTs and DeFi.

Twitter user prevents 200 billion BitBTC bridge exploit, highlighting major vulnerability

A Twitter user highlighted a vulnerability in BitBTC’s Optimism bridge and averted what could have been the latest in a string of bridge exploits this month.

Moola Market DeFi hacker returns US$9 mln in stolen funds for bounty

The perpetrator of the US$9.1 million Moola Market exploit returned close to the entirety of the loot in exchange for an undisclosed ransom on Wednesday, according to the project’s social media update.   See related article: ‘Hacktober’ continues with US$1 mln taken from BitKeep token swap service Fast facts Decentralized finance (DeFi) project Moola Markets announced […]

‘Hacktober’ continues with US$1 mln taken from BitKeep token swap service

An unidentified hacker stole over US$1 million in Binance Coin (BNB) tokens from decentralized multi-chain wallet BitKeep’s token swap service on Monday, according to a Tuesday statement by the company. See related article: Crypto hackers on track for bonanza year as theft surges, Chainalysis says Fast facts “Our development team managed to contain the emergency […]

Why the crypto bear market can be a bull for innovation

The market may be in the doldrums, but there’s no better time to clean house and build for the future, writes Clayton Roche of UMA. Here are 5 areas of opportunity.

Is crypto suffering from the same ills as TradFi?

Centralized lenders like Celsius and Voyager have proven hugely problematic, but DeFi also has big issues. What if we pursue a hybrid approach?

Centralized or Decentralized?

As blockchains experience outages, what steps should developers take to best prevent future incidents?

Valkyrie to liquidate balance sheet ETF, delist from Nasdaq

Crypto asset manager Valkyrie will liquidate its Balance Sheet Opportunities exchange-traded fund (ETF) at the end of October and then delist from Nasdaq.See related article: What the Bitcoin futures ETF bonanza means for investors Fast facts See related article: Markets: Bitcoin price falls with Ether. Doge sole gainer in top 10 cryptocurrencies

Solana-hosted DeFi platform Mango exploited for over US$100 mln

Mango Markets, a decentralized platform hosted on the Solana blockchain, was exploited for over US$100 million. See related article: What is the Solana ecosystem and how is it fueling SOL’s stratospheric rise? Fast facts Mango’s token MNGO was severely impacted, dropping 42.9% in the past 24 hours to US$0.023 as of 11:15 a.m. in Hong […]

A bear market may be painful, but it’s good for DAOs

When times are tough, a DAO must trim fat and focus on providing a better product or service to its community, writes Redmption of Harvest Finance.

September 2022

Is crypto in a deep funk? Think again

Beyond the bear market, Web3 technology is shining bright in gaming and music, writes Hannes Graah of Gro. Are we at a tipping point for mass adoption?

FTX in talks to raise US$1B in fundraising round: CNBC report

Sam Bankman-Fried‘s FTX is in talks with potential investors about a funding round that would keep the company’s valuation in line with prior financing at the start of the year, CNBC reported Wednesday.  See related article: Binance and FTX lead bidding for bankrupt Voyager Fast facts FTX Trading Ltd.’s latest funding round in January raised […]

Why DeFi interest rate swaps may be the next frontier of finance

Already a big part of global finance, interest rate swaps can be a boon for DeFi — if it can overcome these challenges, writes Simon Jones of Voltz Labs.

The world is still far from mass crypto adoption, says Vujinovic of OGroup

Maja Vujinovic, founder and CEO of OGroup, a financial services company with a focus on artificial intelligence and blockchain, spoke to Forkast about the future of digital assets at StartmeupHK Festival 2022.

Why Ethereum Merge will be game-changing for DeFi and crypto investing

Ethereum post-Merge will be much more attractive to institutional investors keen on ESG and earning stable yields, writes Wei Zhou of Coins.ph. Here’s why.

Hacks, losses in cryptocurrency offer vast opportunity for insurers

Cryptocurrency-related insurance is a vast untapped market, with less than 1% of crypto investments covered amid hacks and losses in the industry running into the billions of dollars, Cointelegraph reported, citing an executive from decentralized insurance protocol InsurAce. See related article: DeFi insurance: Why buy coverage for your digital assets? Fast facts Dan Thomson, the […]

Where will DeFi be after crypto winter ends?

The collapse of Celsius and Anchor wasn’t a failure of DeFi, writes Kaaran Kalantari of WingRiders. They failed to assess risk, and crypto Darwinism took shape.