Around 22% of all spot crypto volume now settles on DEXs, up from roughly 8% in 2022. That shift explains where lending is heading next. 📊
→ Aave, Morpho and Spark hold close to $55B in combined deposits, with stablecoin utilization near 70%. Capital is actively working, not parked.
→ Permissionless market deployment takes minutes now. The scarce resource is no longer access, it is risk curation - oracle selection, collateral caps, liquidation thresholds.
→ Isolated pool design limits contagion. A single failing collateral can be wound down without draining the entire liquidity base.
→ On-chain stablecoin borrow rates have held between 4% and 8% on major venues, giving DeFi credit a real benchmark against off-chain yields.
The permissionless layer is built. What remains unsolved is pricing risk correctly across thousands of long-tail assets with thin liquidity and unreliable feeds. Protocols that solve that will absorb the next wave of capital. The ones that ignore it will learn why bad debt compounds faster than TVL.
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#CryptoTips #LearnCrypto #Web3 #Investing #DeFi
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→ Aave, Morpho and Spark hold close to $55B in combined deposits, with stablecoin utilization near 70%. Capital is actively working, not parked.
→ Permissionless market deployment takes minutes now. The scarce resource is no longer access, it is risk curation - oracle selection, collateral caps, liquidation thresholds.
→ Isolated pool design limits contagion. A single failing collateral can be wound down without draining the entire liquidity base.
→ On-chain stablecoin borrow rates have held between 4% and 8% on major venues, giving DeFi credit a real benchmark against off-chain yields.
The permissionless layer is built. What remains unsolved is pricing risk correctly across thousands of long-tail assets with thin liquidity and unreliable feeds. Protocols that solve that will absorb the next wave of capital. The ones that ignore it will learn why bad debt compounds faster than TVL.
Share your experience
#CryptoTips #LearnCrypto #Web3 #Investing #DeFi
📱 Follow @PoorCryptoMan