February 22, 2024

Vitalik Buterin: Ethereum-based DeFi applications have made great strides

Speaking at the ETHWaterloo hackathon in Canada, Ethereum founder Vitalik Buterin said that the field of decentralizedFinance (DeFi) is growing rapidly and generates considerable value for market participants.

According to him, a significant benefitdecentralized applications can bring not only payments but also to other sectors. Buterin also emphasized that “a really good job has been done” in the DeFi-segment built on the air.

“Ethereum has made significant strides. I see value in the DeFi wave and am glad that many people create such things. Going beyond finance, I'm more than sure there are many other things that blockchain is capable of. I consider blockchains in a broader sense, as some kind of economic basis for creating various systems ”- Vitalik shared his opinion.

Ethereum Creator Named Two Reasons Whymany developers initially focused on the financial sector. Firstly, this sector can bring money in the short term, and secondly, centralized financial applications are “the most terrible”.

“Sending email from one country to another is a trifle. However, when it comes to sending money, it still requires considerable effort. ”Buterin explained, hinting that cryptocurrencies still have a long way to go for their mass adoption.

According to DeFi Pulse, based on the volume of blocked ETH, the decentralized finance sector has tripled since the beginning of the year.

Vitalik Buterin: Ethereum-based DeFi applications have made great strides

The most popular DeFi services are Maker and Compound (lending) and Synthetix (crypto derivatives).

ForkLog previously reported that the South Korean exchange Bithumb will launch a platform for creating custom DeFi applications on its own blockchain.