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Decentralized finance (DeFi) has been a life-saver for many individuals, inventors, and organizations in the crypto space since its debut. With various adoptions and use cases facilitating lots of development, DeFi has been one of the driving forces of crypto’s rise from 2020. As such, we can rightly say DeFi broke the centralization process we used to know and gave power to the people.
It is no wonder its popularity soared. DeFi attracted a large number of crypto ventures and as of January 2021, over $20.5 billion was invested in DeFi. DeFi’s decentralized autonomous organizations (DAO) such as Uniswap, Compound, Aave, and Synthetix blossomed in Q2 as a new organizational structure for firms to coordinate financial decisions.
Today, a Chinese journalist who manages ‘Wu Blockchain’ on Twitter writes that the number of unique addresses leveraging DeFi exceeded 4 million on November 21. However, someone was quick to point out that unique addresses are not that important, rather, the focus should be on Daily Active Users or wallets. As per the report, the number of DeFi independent addresses has grown 233% since this year, Dune Analytics reveals.
According to Dune Analytics, the number of DeFi unique addresses exceeded 4 million on November 21. This year, the number of DeFi independent addresses has grown 233%. pic.twitter.com/0xpbhEwyx2
— Wu Blockchain (@WuBlockchain) November 22, 2021
While this is noteworthy, the high rate of DeFi theft and crime has left many with a contrary view of DeFi. Recent reports from Elliptic reveal that DeFi users and investors suffered over $10.8 billion loss in 2021. Consequently, SEC Commissioner, Caroline Crenshaw wants DeFi projects to work with them in order to find solutions to the prevailing woes.