The decentralized finance (DeFi) summer of 2021 has seen the cryptocurrency market explode as fear of missing out (FOMO) intensifies, sending Bitcoin (BTC) and much of the cryptocurrency market to record price highs. During this period, the total value locked (TVL) across DeFi rose to nearly $180 billion before plummeting.
After BTC prices breached the $30,000 mark over the past few weeks, some have speculated whether the market is gearing up for another bull run. This may indicate that past cycle veterans and crypto newcomers alike are interested in DeFi, and Cointelegraph Research’s latest report aims to help provide insights for past, present, and future DeFi users.
Download the report on the Cointelegraph research terminal.
The Investing in DeFi: A Comprehensive Guide report is a perfect start for blockchain newcomers, providing an overview of DeFi. Links and references to all useful resources and tools are included throughout the report to help individuals do their due diligence before investing in anything. Cointelegraph Research and Cointelegraph Markets Pro have collaborated on several areas of the report to provide tips and tricks to assist DeFi users with fundamental analysis that can help reduce the risks associated with investing in cryptocurrencies.
Will DeFi see more growth in the near future?
Before investing in DeFi, it is important to understand the growth potential of the industry if interest increases in the future. If we look at the chart of DeFi’s surge during the DeFi summer of 2021, it seems to indicate that there is still enough room to grow to at least the level achieved during the last bull market cycle.
There is no guarantee that the cryptocurrency market will replicate this move, but it does indicate that the market was once interested in these levels of DeFi. The questions potential investors must ask themselves are: “Is there more or less adoption today than in the past?” and “Will there be more or less adoption in the future than today?”
Too many tools, too little time
Unlike earlier cryptocurrencies, DeFi participants now have a variety of different tools and applications at their fingertips. It is impossible to fit all the different solutions that have been built and rolled out into one graph.
The diagram below is a starting point for DeFi investors to start researching different protocols and possible investments in the cryptocurrency space. The latest report from Cointelegraph Research is a starting point to help newcomers enter the world of DeFi.
Cointelegraph Research Team
Cointelegraph’s research department is comprised of some of the best minds in the blockchain industry. Combining academic rigor with hard-earned real-world experience, the team’s researchers are committed to bringing the most accurate and insightful content on the market.
Michael Tabone is Associate Director of Research at Cointelegraph. The research team consists of subject matter experts from the fields of finance, economics and technology, bringing the leading source of industry reports and insightful analysis to the market. The team utilizes APIs from various sources to provide accurate and useful information and analysis.
With decades of combined experience in traditional finance, business, engineering, technology, and research, the Cointelegraph research team is well positioned to leverage its combined talent in its Investing in DeFi report.
The opinions expressed herein are for general informational purposes only and are not intended to provide specific advice or advice to any individual or to any particular security or investment product.
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