DeFi Trends to Watch for In 2023

Demand is growing for DeFi insurance policies.

Development of crypto bridges is advancing to allow trading across different blockchain platforms.

More DeFi platforms are offering their own governance tokens.

Some of the DeFi trends for 2022 were not favorable for crypto markets. Market value fell over 50% following the 2021 bull market. But crypto was not alone — U.S. stock values dropped more than 15% while bond markets declined by over 20%.#etf $BTC

At the beginning of 2022, traditional finance was dealing with high interest rates. More investors explored speculative investing in crypto, especially after bitcoin (BTC) and ether (ETH) reached all-time highs in 2021.#DeFiTrends

In the second quarter of 2022, market liquidity in traditional finance decreased as interest rates rose. As traders sold their riskier assets, the crypto market cap fell by $1 trillion.#DeFiChallenge

With the collapse of the FTX exchange platform, crypto markets continued to struggle. FTX, which supported many struggling start-ups during the first market dip, had commingled customer