DeFi Protocols Converge to Support Permissionless Web3

Maxwell Williams
Maxwell Williams Crypto
3 Min Read

After the implosion of prominent crypto ecosystems last year, we have seen a steady restoration in their value as accountable actors take positive measures to restore trust. Notable participants in the decentralized finance (DeFi) environment joined forces to illustrate their commitment to creating trustless, interoperable, and unrestricted platforms.

Messages of Unity from Over 30 DeFi Platforms

For an entire day on February 6-7, more than 30 DeFi protocols united to showcase tweets without permission – emphasizing the freedom and interoperability of Web3. Yearn.finance, MakerDAO, SushiSwap, and Aave were among those that joined in this pioneering campaign. Even though DeFi has gained recognition as giant corporations come into its fold, it still has a questionable background due to some exploitation cases.

As per Mamun Rashid, director of marketing at MakerDAO, for DeFi to unlock its maximum potential, the space needs to come together and combine its knowledge and experience. In this regard, the projects that have been part of this campaign have experienced how collaboration can be stronger than the competition in DeFi‘s ecosystem.

Jared Grey, CEO of SushiSwap, declared that DeFi is a revolutionary endeavor aiming to disrupt the existing financial system. He noted that it is up to those partaking in this space to ensure its message gets out accurately and clearly. This makes the participation and collaboration of over 30 builders within DeFi all the more critical at this point in time.

defi protocols converge to support permissionless web3

Last Year Was a Very Difficult Year for Decentralized Finance

The DeFi space was one of the most widely-exploited areas in 2022, with Beosin estimating a 47.4% increase in security losses compared to 2020 – resulting in an alarming $3.64 billion loss throughout the year. Unfortunately, this trend will remain prevalent as new projects enter the market and more artful hackers join forces against them, making it increasingly more work for businesses within this industry to protect their assets from cybercrime activity.

At the start of this year, DappRadar reported that DeFi had seen astronomical success. Even more so, Injective is dedicating $150 million to a new ecosystem fund to further foster and support the use of both DeFi and Cosmos.

Go on: Big Development in DeFi Market: Trader Joe Announces A Massive New Partnership

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I am Maxwell - my friends call me Maxy, graduated from Pomona College in Economics. I have a highly quantitative and analytical background with work experience in corporate finance, valuations, and strategic advisory services. My diverse background has allowed me to gain experiences in various industries geographies and enabled me to acquire an international and comprehensive perspective.
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