DeFi

DeFi, short for decentralized finance, represents a shift in the financial sector by leveraging blockchain technology, primarily Ethereum, to eliminate traditional financial intermediaries. It enables various financial applications, from simple transactions to complex contracts, through smart contracts that execute automatically under specific conditions. Key DeFi applications include decentralized exchanges (DEXs), stablecoins, lending platforms, and prediction markets. DeFi offers financial services like loans and interest-earning opportunities without traditional identity verification, relying instead on collateral, usually in cryptocurrency. This innovative sector promises increased accessibility and efficiency but comes with risks, such as market volatility and unregulated projects.


Finance

Coinbase Paves Way for Big Institutions to Do More With Web3, DeFi, NFTs

“We're seeing corporations who want to participate on-chain in some way,” Coinbase’s Kevin Johnson told CoinDesk TV. “But they need a safe way to do that.”

Coinbase (COIN) reports fourth quarter earnings on Thursday and is expected to post strong numbers as trading volume picked up in the last few months of the year. (Piggybank/Unsplash)

Opinyon

What's Wrong With PayPal's Stablecoin?

If PYUSD is to gain true and lasting traction, the newly minted stablecoin issuer needs to address certain centralization concerns, Kima Chief Technology Officer Guy Vider writes.

The ability to transfer all PYUSD user funds into PayPal may leave crypto natives hesitant to adopt the stablecoin. Oliver Buchmann/Unsplash)

Finance

Dunhill Family Office Makes Bear Market Bet on Crypto

The family office is investing through its Dunhill Ventures subsidiary into Lichtenstein-regulated VC firm Mocha Ventures.

(Unsplash)

Opinyon

Will the CFTC Blot Out DeFi in the U.S.?

Recent actions by the agency raise impossible questions for decentralized finance platforms.

The U.S. Commodity Futures Trading Commission would be granted far-reaching authority over crypto trading and regulation in a new Senate bill. (Jesse Hamilton/CoinDesk)

Policy

CFTC Goes After Opyn, Other DeFi Operations in Enforcement Sweep

The U.S. derivatives markets regulator targeted three companies, including one from which the CFTC hired a lawyer who ran its technology research division.

(Jesse Hamilton/CoinDesk)

Finance

Coinbase-Backed Insurance Alternative OpenCover Debuts on Layer 2 Blockchain Base

OpenCover, which raised $4 million in a seed round led by the likes of NFX and Jump Crypto, received a $200,000 funding bump from Coinbase to bolster its debut on Base.

Insurance (Vlad Deep/Unsplash)

Policy

Find Who’s Responsible for DeFi Projects and Regulate Them, Global Securities Body Says

IOSCO worries decentralized financial applications could harm investors and markets – and casts doubt on their main premise

International standard setters at Iosco have proposed DeFi rules (Andriy Onufriyenko/Getty Images)

Technology

Publicly Traded Korean Firm Neowiz To Build Games on Avalanche Network

Intella X, Neowiz’s Web3 arm, has joined Avalanche Arcad3 to build blockchain games in the crazed market.

(Oatawa/Getty Images)

CoinDesk Indices

DeFi and Credit Risk

This potentially disruptive sector must set aside some of its lofty ideals, for now, and focus on financial solutions with demonstrable global demand and adoption.

(Alina Grubnyak/Unsplash)

Finance

DeFi Protocol Synapse Responds to Selling Pressure With 17% Bounce

Synapse's SYN token recovered its losses after 9 million were sold by a liquidity provider identified as Nima Capital by the protocol.

SYNUSD price chart (TradingView)