The DeFi market no longer seems to be just the domain of the retail trade as more and more large investors gain a foothold in the crypto market segment and penetrate DeFi.

Many “big ones” occupy DeFi

follow Chain analysis, institutional investors will play an important role in the DeFi rollout in the second quarter of 2021. In particular, like Bitcoin magazine As previously reported, Synthetic Team, after topping the “Cryptocurrency Adoption Index” ranking, continues to occupy 2nd place in the “Global DeFi Adoption Index”. This shows that DeFi has received a great deal of attention worldwide from both developed and developing countries.

“Transactions from large institutional investors, ie those over $ 10 million, accounted for more than 60% of the DeFi market in the second quarter of 2021. That’s 50% more than crypto transactions. Death, ”explained Chainalysis.

Source: chain analysis

In fact, DeFi has become a major institutional draw lately, especially as banks and financial institutions begin to commit to funding the crypto market segment.

This trend shows that there is a diversification interest in offering Bitcoin-related investment products from large-cap investors who want to enter the DeFi market. The Chainalysis report also shows an increasing segregation in DeFi adoption metrics and the crypto market. While emerging markets continue to accept bitcoin more strongly, DeFi activity is said to be fueled by institutional investors in large economies.

Meanwhile, regulators are increasingly focusing on the DeFi market, with the U.S. Securities and Exchange Commission recently opening an investigation into Uniswap – the largest decentralized exchange in the ecosystem. Tighter monitoring protocols targeting the DeFi market has been a major discussion point for regulators in large economies. Back in August, SEC chairman Gary Gensler identified DeFi as one of the committee’s seven crypto-related policy topics.

Gensler has previously spoken out against the decentralized nature of DeFi protocols. He believes that many platforms are too centralized and need to be licensed by the authorities.

The DeFi market’s surge since July has been curbed somewhat by the recent drop in prices as the total value fell below the $ 100 billion mark.

The source: DefiPuls

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According to Cointelegraph

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