The growth of decentralized finances (Defi) And the asset token continue to disappoint, he said Wednesday, on Wednesday, citing the stagnant recovery since the winter of 2022 Winter of 2022.
Total blocked value (TVL) In Defi, it remains below 2021 maximums, with most of the activity still conducted by crypto-national and retail users, the report said.
Institutional adoption has been delayed despite the development of an infrastructure ready for compliance, as groups of loans permits and vaults enabled for KYC, wrote Panigirtzoglou.
The main barriers are left. Institutions face regulatory fragmentation, legal uncertainty about assets in the chain and concerns about the security of the intelligent contract, analysts wrote. As a result, most institutional cryptographic activity remains concentrated in Bitcoins
.
Tokenization has also had problems delivering. While the sector has seen some traction, with $ 25 billion in tokenized assets, $ 8 billion in tokenized bonds and a growing adoption in monetary market funds, most initiatives remain small, illegids or experimental, said the bank. Prominent efforts such as Buidl de Blackrock and the Broadridge distributed accounting repository (DLR) The platform offers efficiency profits, but lacks scale.
Panigirtzoglou said that in private markets, tokenization is very concentrated among a few players and lacks significant secondary market activity.
Many traditional investors remain skeptical, especially given the transparency of Blockchain, an inconvenience for institutions that favor opaque commercial places such as dark pools, according to the report. The continuous increase in capital of capital out of exchange illustrates this preference.
Despite regulatory initiatives such as the “Crypto Project” of the SEC, Panigirtzoglou doubt whether changes in the rules alone can overcome the deepest problem: traditional finances do not yet see a clear need for blockchain.
Fintech has already improved speed and efficiency within the current system, which reduces the urgency of adopting tokenized alternatives, the report added.
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