Welcome to Finance Redefined. This is a weekly newsletter that provides major decentralized finance (DeFi) insights and highlights some of the major developments made last week.
Last week, the DeFi ecosystem saw some new developments, despite the bearish stages brought about by the crypto market lending crisis. Another cryptocurrency lender, Celsius, has a high stake in the DeFi protocol and has filed for bankruptcy. The overall DeFi market fell to new lows in the second quarter. However, the new report shows that users haven’t given up hope.
BNB Chain has launched a new decentralized application (DApp) platform with alarm capabilities. Vermont regulators have begun investigating the troubled cryptocurrency lender, Celsius, and considered it bankrupt. DeFi researchers predict that Ethereum’s Proof of Stake (PoS) will help Ethereum (ETH) overtake Bitcoin (BTC).
With the green momentum across the market after the release of inflation data, DeFi tokens have seen a new trend of bullish momentum in the last few days.
The DeFi market fell off the cliff in the second quarter, but users haven’t given up hope: Report
The DeFi market suffered a 74.6% market capitalization decline in the second quarter, but user activity is relatively resilient, says Coin Gecko.
In a report released by crypto data aggregators on Wednesday, CoinGecko has a DeFi market capitalization of $ 142 million in the second quarter, primarily due to the collapse of Terra and its stablecoin TerraUSD Classic (USTC) in May. Reported a reduction to $ 36 million.
BNB chain launches DApp platform with “red alarm” to alert users about fraud
The BNB chain has launched a new platform, DappBay, to discover new Web3 projects. According to Thursday’s announcement, DappBay has a new feature called Red Alarm that assesses the risk level of a project in real time and alerts users to potentially risky DApps.
Red Alarm is a contract risk scanning tool provided by DappBay that helps users identify high-risk projects and protect their investments from rug pulling and fraud. Users can enter into the Red Alarm feature to see if the contract address is at risk of logical flaws or fraud.
Vermont will be the sixth US state to begin an investigation into Celsius
The Vermont Financial Regulatory Authority (DFR) warned the troubled crypto lender, Mr. Seth, on Tuesday, stating that the crypto lender does not have a license to provide services in the state. Reminded me.
The DFR argued that Celsius was “bankruptcy serious” and lacked “assets and liquidity” to meet its obligations to its clients. State regulators have accused crypto lenders of mismanagement of their clients’ funds by allocating them to risky, illiquid investments.
PoS gives Ethereum an economic structure to overtake Bitcoin, DeFi researchers say
As Ethereum moved to PoS, DeFi researchers argued that the platform could overtake the Bitcoin throne as the top dog in cryptocurrencies.
In a Twitter thread, researcher Vivek Raman emphasized that the upcoming Ethereum merge could create a better economic structure for smart contract platforms. According to Raman, the move to PoS will reduce Ether’s inflation, improve security and position crypto as a digital bond.
DeFi Market Overview
According to analysis data, the total value of locked DeFi recorded a slight decline from last week, dropping to a value of $ 56.45 billion. According to data from Cointelegraph Markets Pro and TradingView, DeFi’s top 100 tokens by market capitalization are a mix of weeks, with some tokens trading in red and some others recording double-digit profits. Did.
Aave (AAVE) has risen 30% in the past week and is the largest winner in the Top 100, followed by Uniswap (UNI) soaring 23%. Compound (COMP) has recorded a 19% surge over the past week, while Curve DAO Token (CRV) has also shown a 15% price increase over the past seven days.
Thank you for reading this week’s summary of the most influential DeFi developments. Join us next Friday to further deepen your story, insights and education in this dynamically evolving space.