Charlie Lee criticized DeFi systems

Decentralized financial ecosystems have the potential to operate autonomously on the blockchain withoutinterventions of various institutions. However, not everyone believes in this potential. Charlie Lee recently criticized DeFi.

And although some systems already use codes and smart contracts to process large sums and transactions on the blockchain, the creator of Litecoin considers DeFi overvalued. He said:

Most decentralized financialplatforms can be closed by centralized parties, so this cannot be called decentralization. Rather, it is a theater of decentralization. In addition, without adding centrality, we will not be able to level the results of hacks or critical errors.

According to him, the DeFi concept is too complex and has never been fully decentralized. 

I do not think truly decentralizedthe financial system will be able to work in practice. Difficulty in work will lead to many errors and bugs. Therefore, such platforms will remain semi-centralized.

Recall that last year, the leading cryptocurrency platform Huobi announced a partnership with the Nervos network to develop a new public blockchain for decentralized financial (DeFi) services.

Based on materialsbitcoinwarrior.net