Overview on DeFi.

[OcTradism]

The crypto industry has many hot trends in the last decades: Privacy coins, mixing services, ICOs, staking/ masternode coins, cold-staking, IEOs, and now we have a DeFi trend. It is interesting to see its appearance.

As a basic rule, a new trend brings both opportunities and risks to investors. Only investors who are knowledgeable and readily to learn as well as have ability to control their investing activities can win and earn profits from their capital. Most of them end with losses, indeed.

if you compare the times when tether growth peaked with the altcoin market pump and dump periods you can see that the major rises were:
1. 2017 mass altcoin pump when every single altcoin even the long dead ones worth less than 1 satoshi got pumped
2. 2017 ICO mania where thousands of ICO were being created every month or so
3. 2018-2019 mass altcoin dump which was the reverse of #1
4. 2018 mass ICO death which was reverse of #2
interestingly enough tether was added to ethereum network to exactly be used for pump and dumping ICO tokens during the ICO mania by the end of 2017 and grow a lot during the ICO death spiral next 2 years.

Let's begin with some articles on DeFi

What is DeFi?
Decentralized Finance (or simply DeFi) refers to an ecosystem of financial applications that are built on top of blockchain networks. ^[1]

[1] https://academy.binance.com/blockchain/the-complete-beginners-guide-to-decentralized-finance-defi
[2] https://blockgeeks.com/guides/demystifying-defi-ultimate-guide/
[3] https://www.exodus.io/blog/what-is-defi/
[4] https://blog.coinbase.com/a-beginners-guide-to-decentralized-finance-defi-574c68ff43c4
[5] https://www.coindesk.com/everything-you-ever-wanted-to-know-about-the-defi-flash-loan-attack
[6] https://defiwiki.org/wiki/Main_Page

There are some websites on which you can track DeFi's protocols, tokens, and dapps. Let's take a quick overview on some of them.
[1] defimarketcap.io
On the site, at its home page, you can see overal statistics for total tokens, total DeFi-marketcap.
- Tokens: 685
- Market Cap: $5,047,884,336

If you click on All protocol, besides the Search box, you will be directed to the page: https://defimarketcap.io/protocols

The site has its weakness: Does not have feature to help sorting out tokens by each indicator (change (24h) for example)

[2] dapp.com
You can visit three main pages: ranking, market and community.

Ranking
https://www.dapp.com/ranking

There are options to sort out : 24hr users, 24hr transactions, 24hr volume, Dapps.com score - I don't recommend it because it is subjective ranking score.

You can also sort those DeFi tokens out by categories: Game, Gambling, Exchange, Finance, Social, etc.
Furthermore, options to choose different periods: 24 hours, 7 days, 30 days; All, New, Token. Please see the image below for visual clarifications.

Market
https://www.dapp.com/market
The site gives you some nice graphics for Overview, Market dominance by category, Market dominance by blokchain.

Community
https://www.dapp.com/community
You can get news, bounties, promotions, giveaways, anniversary, etc.

[3] analytics.dapp.review
Overview

Comparison of chains

Graphs for chosen chain
You can choose one chain, and get some overview graphs of dapps on that chain with 7 days or 30 days period.

In addition, you can see dapp rankings, by Users 24h or Volume 24h.

Visit its explorer page for more details. Remember that you can modify it with many options: New, Card/ Table, Indicators (24h users, 24h volume, 24h Tx, 7D users, 7D volume, 7D Tx, Balance, Score); sort them by categories: All, Game, Social, Casino, Finance, Exchange, etc., and by Chains.

[4] defipulse.com
There are options for you to modify the table: All, Lending, Dexes, Derivatives, Payments, Asssets.

They have pages for: DeFi list and Token list


[5] dappradar.com
The site gives you overview over categories, chains, Editors picks, DeFi picks, and Recommended dapps

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[mk4]

Not to be a total killjoy here, but is it just me or is it like "DeFi" is the 2020 version of the "blockchain technology" hype? Most of the "DeFi" platforms simply has some serious flaws for them to work well in the long term. Yea I seem like a total snob but I'm still not convinced that anything but bitcoin will work for now.

[gentlemand]

These platforms are broken piece of shit jokes. How anyone can take them seriously is beyond me. It would be pure suicide to attempt to run your actual life through junk like this.

There've been numerous hacks of these now, often to the tune of many millions of dollars. Luckily one of them was covered by 'decentralised insurance', less luckily and even less surprisingly it chose not to pay out.

[pedrog]

These platforms are broken piece of shit jokes. How anyone can take them seriously is beyond me. It would be pure suicide to attempt to run your actual life through junk like this.

There've been numerous hacks of these now, often to the tune of many millions of dollars. Luckily one of them was covered by 'decentralised insurance', less luckily and even less surprisingly it chose not to pay out.

Like the ICOs it will grow a lot, millions will be made and lost, and then it will go away and something new will come.

The very few good projects will survive.

[stompix]

These platforms are broken piece of shit jokes. How anyone can take them seriously is beyond me. It would be pure suicide to attempt to run your actual life through junk like this.

There is a bunch of guys that need to come with new schemes, ICOs have been played out, IEOs have been a total flop now we need something new, and this is the best. People just don't understand that not everything in this world needs a token, a blockchain, or a smart contract.

But in a way, it's normal, not only in cryptos we have thousands of things being produced, launched and retired because nobody is actually interested in them. The DeFi story will continue for a few years, hunting those 1 out of 5 unbanked people like a mirage till they realize that you can't develop a business by loaning money to people who have little to no money.
Another fad that will go away pretty soon and we're on our way to the new "revolutionary" thing.

[pakhitheboss]

Defi is over-hyped and as everything new in the crypto market investors are going crazy about it. Give them a year and two and you will hear Defi investors cursing it. It is always good to wait and watch first if you do not want to incur losses.

[hatshepsut93]

Not to be a total killjoy here, but is it just me or is it like "DeFi" is the 2020 version of the "blockchain technology" hype? Most of the "DeFi" platforms simply has some serious flaws for them to work well in the long term. Yea I seem like a total snob but I'm still not convinced that anything but bitcoin will work for now.

Yep, DEfI is when a bunch of shitcoins and tokens gathered together and decided to create some sort of brand. A lot of these products are not as interesting as it sounds. Collaterized crypto loans will never replace fiat credit and loans. Flash loans are useless to anyone except some traders. And when hacks occur, suddenly the devs are able to intervene in a completely centralized manner with their master keys, totally undoing the "De" in DeFi. Now ask yourself what will happen if the government knocks on their doors and ask them to give them the copy of their keys.

[OcTradism]

Why are you so serious guys? I meant if you are not fomo, and patient enough, you will be able to take advantage of the trend? Who care how many tokens will build up a truly DeFi platform?

Forget it. If you look at it as pump and dump and can take advantage of the movement, you will be able to earn profit. DeFi or not, it is only a term. Pump and dump are real. Don't buy and wait for pumps, indeed do the opposite.

Trade with it, not invest.

[mk4]

Why are you so serious guys? I meant if you are not fomo, and patient enough, you will be able to take advantage of the trend? Who care how many tokens will build up a truly DeFi platform?

Forget it. If you look at it as pump and dump and can take advantage of the movement, you will be able to earn profit. DeFi or not, it is only a term. Pump and dump are real. Don't buy and wait for pumps, indeed do the opposite.

You saying that it's a pump and dump as if it's actually a good thing. I'm 100% totally and completely fine with people creating interesting projects, but it gets bad real quick when the meth-heads on social media are spreading that these "DeFi" tokens are good investments and shilling them like there's no tomorrow.

[OcTradism]

I warned most of them will end with losses in OP. Does it makes sense? A trend is a trend. Fork was a trend, ICO was a trend, IEO was a trend, Masternodes/ stake coin was a trend, cold staking was a trend. No one can deny it.

You love it, you hate it, the trend is here.

Generally, trade and get profits if you can. If you can not, stay away of anything relates to DeFi. Bitcoin is King!

[gentlemand]

Why are you so serious guys?

Where is the most excellent profitings?

All I can see are a bunch of losses waiting to happen. If whatever tradeable shittoken doesn't collapse and eat your money, whatever money you're insane enough to actually put into one of these schemes will vapourise rapidly too.

[OcTradism]

Where is the most excellent profitings?

All I can see are a bunch of losses waiting to happen. If whatever tradeable shittoken doesn't collapse and eat your money, whatever money you're insane enough to actually put into one of these schemes will vapourise rapidly too.

Momentum and volume. That's it.

As I said, don't invest, trade instead. Invest will cause losses because it is for long term. Such a trend does not usually last for too long.

Trade if you can find a good entry point.

[tetuto]

Hey, thanks for the cool piece of information! Btw, there is a repository of knowledge about DeFi: https://defiwiki.org/. It could help to educate the community about decentralized finance as well.

[Digitradez]

You left HEX off your list ( first blockchain certificate of deposit) CD. It is rank #20 on top cryptos and one of the highest volume trading pairs on uniswap. I know a lot of people call this a shitcoin but over $2billion dollars of bitcoin claimed their hex, so I wouldn't just count it out.

[notblox1]

Nothing 'hot' about Defi for me...
It is all bunch of pump and dump crap that are running on Uniswap exchange, and excluding only few exceptions.
I also think this topic is not in correct place Beginners & Help and should be moved to Altcoins or tokens sections.

[Apple Janice]

Check here the Q2 blockchain dapp report by dapp.com, it clearly shows that Jun is the Month of DeFi. And it starts from $COMP.

https://www.dapp.com/article/q2-2020-dapp-market-report

[Pumuckel21]

Very good review and thanks for the effort you put in. Nevertheless one can not deny that defi is an upcoming trend. Personally I can not see the fact why defi is so popular at the moment-

[OasisDre]

After reading so many comments I have no choice but to ask the audience that what or which project in crypto space that isn't based on hype? Everyone keeps saying DeFi is another hyped projects, everything about crypto is hyped that's my fact, either DeFi will survive or not I can't say, for me it's not what I need.

[OasisDre]

I'm fine with exchanges tokens and payment projects, anything different from these two use case is not for me, I believe that not all use cases are good for blockchain, some will only survive for a while and their Hypes will die

[poodle63]

DeFi is getting hot in recent months, I believe that from now until the end of 2020, there will be a lot of DeFi projects appearing in this market and it will probably help the market explode like those What ICOs did in 2017

A lot of new defi will appear but at the same time, there must be some defi that will die caused by this trend too. In my opinion if everything based on the hype and there will be only a few services from defi who can still survive for the long term.