Why I think Defi and NFTs will be the most important elements in the cryptospace

[bbc.reporter]

Defi and NFTs will not only be important elements in the cryptospace, I reckon Defi will be the main element that will serve as basic infrastructure for all digital items created in the cryptospace. This will include NFTs as mentioned and will also serve cryptocoins like Bitcoin, Ethereum, other altcoins and stablecoins. Defi can also serve casinos, DAOs and many other usecases.

Before I had a wider understanding about Defi, I thought it was only another new scam in the cryptospace that will be forgotten. This is because I thought Defi would try to serve real world assets of value that will be tokenized. I was clearly very wrong in this type of thinking. It was when I was beginning to witness the longterm cultural value of NFTs when I realized of Defi's importance as an infrastructure for anything with value in the cryptospace.

In any case, there are Defi projects in the cryptospace already serving NFTs to provide liquidity for them. I speculate they will be the next 10x - 100x projects.

[Fundamentals Of]

The idea of decentralized finance may be good and very promising, but the prevailing question until today is that which particular decentralized platform in the whole wide defi space is truly decentralized? It is easy to claim decentralization, but upon investigated very closely, will there be any single defi project that is really decentralized?

The idea of decentralization is that there won't be any single point of failure. Looking closely at defi projects, could we give at least a single defi project that doesn't have a single point of failure?

[tbct_mt2]

Defi and NFTs will not only be important elements in the cryptospace, I reckon Defi will be the main element that will serve as basic infrastructure for all digital items created in the cryptospace. This will include NFTs as mentioned and will also serve cryptocoins like Bitcoin, Ethereum, other altcoins and stablecoins. Defi can also serve casinos, DAOs and many other usecases.

Although they will exist and gradually become important components in crypto ecosystem, there will be small parts of DeFi and NFT projects will survive with market bearish test. Because most of them are created with unsolid idea and models so the longer they run, the weaker they become. The bigger their platform becomes in hype period of bull market, the more vulnerable they are in bear market because crash will be bigger.

Before I had a wider understanding about Defi, I thought it was only another new scam in the cryptospace that will be forgotten. This is because I thought Defi would try to serve real world assets of value that will be tokenized. I was clearly very wrong in this type of thinking.

DeFi and NFT projects and ecosystems must create good economies themselves. If they can not do this, their ecosystems will collapse because when new users won't join, the momentum of growth will be broken that will trigger reveal of their weaknesses. When investors realize about that, when price start to collapse, it won't stop and can not be stopped.

[avikz]

Defi and NFTs will not only be important elements in the cryptospace, I reckon Defi will be the main element that will serve as basic infrastructure for all digital items created in the cryptospace. This will include NFTs as mentioned and will also serve cryptocoins like Bitcoin, Ethereum, other altcoins and stablecoins. Defi can also serve casinos, DAOs and many other usecases.

Before I had a wider understanding about Defi, I thought it was only another new scam in the cryptospace that will be forgotten. This is because I thought Defi would try to serve real world assets of value that will be tokenized. I was clearly very wrong in this type of thinking. It was when I was beginning to witness the longterm cultural value of NFTs when I realized of Defi's importance as an infrastructure for anything with value in the cryptospace.

In any case, there are Defi projects in the cryptospace already serving NFTs to provide liquidity for them. I speculate they will be the next 10x - 100x projects.

I agree from Defi perspective! Defi is definitely great and with the increase surveillance from the government agains crypto users, Defi is going to be benefited because people will want to move to a non-centralized ecosystem made for crypto.

But I don't have the same thought for NFTs. This is a marketing buzzword and pure hype without any utility. People are making money in NFT that's why everyday more and more people are flocking to NFT market. But it will dry out sooner than later. When the hype is gone, people will sit on monkey pictures that they have purchsed by soensing millions of dollars.

[cryptoaddictchie]

In any case, there are Defi projects in the cryptospace already serving NFTs to provide liquidity for them. I speculate they will be the next 10x - 100x projects.

Yes for some projects. There are already many projects on the defi and nft that do more than 100x and luckily those people who got in. For nfts, there are azuki, bayc, mayc, doodle, invisible man, and many more. I am not fond of nft with the value on art rather than a use case preferably on gaming which like axie and other nfts that walk around gaming of metaverse.

Well on defi products, there are plenty of choices that has potential, we just need to discover which one is suited our apetite.

[kidbounty]

In any case, there are Defi projects in the cryptospace already serving NFTs to provide liquidity for them. I speculate they will be the next 10x - 100x projects.

there are already projects like that, defi which has staking services, dex, nft and others. but nothing has really worked and lasted long. projects like that are good at the start because of the hype, when the hype fades defi projects like that will disappear and become a dump. so your speculation about a 10x 100x increase will never come true. in fact it is very difficult to find those projects in the marketcap top 100 list, because in the end they never last long.

[Anonylz]

The idea of decentralized finance may be good and very promising, but the prevailing question until today is that which particular decentralized platform in the whole wide defi space is truly decentralized? It is easy to claim decentralization, but upon investigated very closely, will there be any single defi project that is really decentralized?

The idea of decentralization is that there won't be any single point of failure. Looking closely at defi projects, could we give at least a single defi project that doesn't have a single point of failure?

The whole crypto space is full of flaws, btc has a lot of it and people hold it in high esteem. for now there is nothing that is 100% right as far as crypto and defi is concerned but it is a work in progress, the space is young compare to the traditional finance, even that is not 100%.
of course you can't get a complete decentralize finance especially not when government regulations are breathing down your neck but there will be a level of decentralization that allows individuals to have certain control over their assets unlike the traditional way. Failure gives room for perfection

[sulis sudibyo]

I was clearly very wrong in this type of thinking. It was when I was beginning to witness the longterm cultural value of NFTs when I realized of Defi's importance as an infrastructure for anything with value in the cryptospace.

nft for long term? I don't agree about this. nft is profitable when it's hype, but once the hype dissipates slowly the price floor goes down. and it will hurt whoever holds it in the long term. but using defi for cryptospace base. it's worth trying. if this works, we will really not need a centralized system. this will be very beneficial when crypto is completely free from centralization.

[Drane007]

Excellent observations. The synergy of both, I believe, is changing the crypto space.

[Kemarit]

Well what do you expect? they are the latest hype so there is enormous possibilities for now. You can call it 10x-100x projects, but not all of them though. Investors seems to be very picky as they mature in the last 5 years.

And with that, if there will be a new found hype let's say in the next 2 years or so, maybe just a couple of Defi or even NFT's will survived.

[aprilnot]

Defi and NFTs will not only be important elements in the cryptospace, I reckon Defi will be the main element that will serve as basic infrastructure for all digital items created in the cryptospace.

yes that would be important, but that's why there are a lot of shit projects in the cryptospace. there are many rugpull projects and on average they are defi projects. from 2020 until now there are countless, I don't even care anymore because too many defi scam projects are being released. The concept of decentralized finance is indeed very innovative, but this progress is being misused by those who only want to get money from investors. so the greatest potential of defi was never developed. in the end it will just be an innovation that doesn't really help.

[hugeblack]

What will we benefit from having 100 projects or 1000 projects? Increasing the number of projects that cover one idea is not a good thing, especially in an uncontrolled market where everyone aims to make a quick profit.

Decentralized finance as an idea is good, but as an application, all models fail to be decentralized and therefore are high-risk financing that will soon become useless if a new wave of updates appears, just as happened with models such as hardforks^[1], ICO^[2], IEO^[3],...etc.

Therefore, do not bet economically on its continuity.

[1] https://en.wikipedia.org/wiki/Fork_(blockchain)
[2] https://en.wikipedia.org/wiki/Initial_coin_offering
[3] https://en.wikipedia.org/wiki/Initial_exchange_offering

[Faisal2202]

Well by reading your thoughts it seems that you have involved in crypto from very long time.
Yeah in my view, you are right, many DeFi platform, wait i thought every platform is defi but after investing some time in crypto i realized that the platform which claims to be defi are not centralized now.
But there are still many defi platforms, to make anonymous transaction.

[Lagduf]

as from my own understanding the use case of both defi and NFT are kinda countless they could be taken advantage of for many things its just most of us haven’t found some of its use case that’s the reason it’s still limited in certain fields
but in the future these two technology definitely gonna find its additional usages getting us in other level of efficiency.
I always think that maybe the current society and infrastructure isn’t enough in terms of embracing the true automation that these two technologies could bring and maybe its gonna strive more in the future once we have the right resources and society for achieving more advanced civilization, my statement being these technologies gonna be a lot more useful in the future.

[JayTrain]

Cryptocurrency is developing, now defi, nft and much more are appearing, I used to be skeptical about defi and it was hard for me to understand the essence and implementation of this development sector, but over time I realized that a widely developing element in cryptocurrency that will bear fruit for the future.

[Fundamentals Of]

The idea of decentralized finance may be good and very promising, but the prevailing question until today is that which particular decentralized platform in the whole wide defi space is truly decentralized? It is easy to claim decentralization, but upon investigated very closely, will there be any single defi project that is really decentralized?

The idea of decentralization is that there won't be any single point of failure. Looking closely at defi projects, could we give at least a single defi project that doesn't have a single point of failure?

The whole crypto space is full of flaws, btc has a lot of it and people hold it in high esteem. for now there is nothing that is 100% right as far as crypto and defi is concerned but it is a work in progress, the space is young compare to the traditional finance, even that is not 100%.
of course you can't get a complete decentralize finance especially not when government regulations are breathing down your neck but there will be a level of decentralization that allows individuals to have certain control over their assets unlike the traditional way. Failure gives room for perfection

What are the flaws of Bitcoin, by the way? Especially in terms of decentralization, does Bitcoin have a lot of flaws? I think the main reason why Bitcoin is held in high esteem is that it is probably one among less than handful, perhaps the only, truly decentralized coin in the whole cryptocurrency market.

Again, decentralized finance is a good thing, a great vision to be exact. But how many tens or even hundreds of billions are already lost out of these decentralized finance platforms?

[GreatArkansas]

Decentralized Finance (DeFi) for me is the major one for sure.
In the beginning, seems DeFi is no use at all but look at now how it is helping our finance right now, Decentralized Finance (DeFi) solves a lot of problems in current traditional finance, for sure we are still early for it.

Smart contracts is really the player when it comes to DeFi, especially since we are still growing, lot of different chains that already adopting DeFi, it will help to lure more people that will start to explore Decentralized Finance (DeFi).

[bbc.reporter]

The idea of decentralized finance may be good and very promising, but the prevailing question until today is that which particular decentralized platform in the whole wide defi space is truly decentralized? It is easy to claim decentralization, but upon investigated very closely, will there be any single defi project that is really decentralized?

The idea of decentralization is that there won't be any single point of failure. Looking closely at defi projects, could we give at least a single defi project that doesn't have a single point of failure?

I have a similar criticism and have created threads about them a few times. What I can tell you is it is arguable for both sides between if someone replies yes and no. Where would you argue for if you think there is a single point of failure?

In any case, this thread is not about that argument. It is an argument about Defi as infrastructure for digital goods, fungible or nonfungible.

This might be a antagonistic opinion, however, I reckon the NFT market might become more popular than the fungible cryptocoin market. The cultural value of NFTs appear to be very underestimated by much of the users in the cryptospace.

Also, to the skeptics of Defi as an infrastructure for digital goods. 2 years ago I might agree, however, similar to bitcoin's skeptics, the skeptics of Defi who say it will die in a few years will also be proven wrong.

[o48o]

Defi and NFTs will not only be important elements in the cryptospace, I reckon Defi will be the main element that will serve as basic infrastructure for all digital items created in the cryptospace. This will include NFTs as mentioned and will also serve cryptocoins like Bitcoin, Ethereum, other altcoins and stablecoins. Defi can also serve casinos, DAOs and many other usecases.

Before I had a wider understanding about Defi, I thought it was only another new scam in the cryptospace that will be forgotten. This is because I thought Defi would try to serve real world assets of value that will be tokenized. I was clearly very wrong in this type of thinking. It was when I was beginning to witness the longterm cultural value of NFTs when I realized of Defi's importance as an infrastructure for anything with value in the cryptospace.

In any case, there are Defi projects in the cryptospace already serving NFTs to provide liquidity for them. I speculate they will be the next 10x - 100x projects.

DeFi won't be a thing as long as crypto people are using it to run away from regulators when they should embrace and integrate regulations.
For now they work as a proof of conceptbut RegDeFi is where we should be headed. Even Andre Cronje who is basically the godfather of DeFi wants to focus on regulation focused projects now.

https://www.coindesk.com/tech/2022/04/19/defi-developer-andre-cronje-teases-new-regulation-focused-crypto-projects/

Here's a project that's currently furthest ahead in tech and Regdefi:
https://www.youtube.com/watch?v=LqDTGk6yuBg

NFTs on the other hand can be used for lots of things.

[TreyARC]

On the long run many scam defi projects will be born, if Bitconnect could get so big in its time imagine another Bitconnect today with its own NFTs, many defi projects will be useless and so their NFTs too, on OpenSea there are millions of unreasonable NFTs for sale, we just have to be careful in this whole race, anything apart from BTC I won't devote my all for.