There is a quiet transformation into decentralized finances (DEFI).
Although Defi’s previous bullish market was driven by the eyes full and doubtful and the speculative frenzy, the current growth has been driven by the sector that becomes a financial layer of backend for user -oriented applications and an increased institutional participation, according to a Wednesday report by the Artemis analysis firm and on the performance platform in the platform chain.
The total blocked value (TVL) in the most high defi loan protocols, including AAVE, Euler, Spark and Morpho, has increased more than $ 50 billion and has approached $ 60 billion, growing 60% during the past year, the report showed. This growth has been promoted by rapid institutionalization and increasingly sophisticated risk management tools.
“These are not simply performance platforms; they are evolving modular financial networks that experience rapid institutionalization,” the authors said.
The ‘Mullet Defi’
One of the recently key tendencies, the highlighted report is user -oriented applications in silence, embed the defi infrastructure in the backend to offer performance or loans. These characteristics are abstracted from users who create a more perfect experience, a trend often called “Defi Mullet:” Fintech Front-End, Defi Backend, according to the report.
Coinbase users, for example, can borrow against their bitcoin
The holdings driven by the backend infrastructure of the lender Defi Morpho. The report indicated more than $ 300 million in loans through this integration as of this month.
The integration of Bitget Wallet with the Aave loan protocol offers a 5% yield in USDC and USDT holdings in the chains without leaving the application of cryptographic wallet. Paypal is also doing something similar with its Pyusd Stablecoin, offering yields about 3.7% to Paypal and Venmo wallet users, although without the defi element.
The report says that Fintech companies friendly with cryptocurrencies with large user bases, such as Robinhood or Revolution, can also adopt this strategy and offer services such as Stablecoin credit lines and loans backed by assets through defi markets, creating new target -based income flows.
RWAS TOKENIZED IN DEFI
Increasingly, the DEFI protocols are introducing use cases for tokenized versions of traditional instruments, such as the US Treasury bonds. And credit funds, also known as real world assets (RWA).
These tokenized assets can serve as a guarantee, gain performance directly or be included in more complex strategies.
Read more: the Apollo Tokenized Credit Fund makes a debut debut with the Securitize Appealing Performance Strategy, Gauntlet
The tokenization of investment strategies is also becoming popular. Pendle, a protocol that allows users to divide the main performance currents, now manages more than $ 4 billion in the total locked value, a large part of them in tokenized stable performance products.
Meanwhile, its Ethena and similar tokens that support performance have introduced products that offer returns greater than 8% through strategies such as cash and transport operations, all while abstracting the operational load for the end user.
Increased asset administrators in the chain
A less visible but highlighted criticism in the report is the increase in crypto-national asset administrators. Companies such as Gauntlet, RE7 and Steakhouse Financial assign capital in all the defi ecosystems using professionally administered strategies, which resemble the role of traditional asset administrators.
These players are deeply integrated in the governance of the DEFI protocol, the risk parameters of fine adjustment and deploy capital in a range of structured performance products, real world assets (RWAS) and modular loan markets.
The report indicated that the capital of the sector under administration has grown four times since January, from $ 1 billion to more than $ 4 billion.
Read more: Crypto for Advisors: Defi surrender, The Revival
