With decentralized finance (DeFi) being a hub for various hacks and exploits, some may feel discouraged or wary of entering the space. However, professionals within the crypto space are confident that DeFi will have broader adoption in the future. 

The blockchain-based lending protocol Maple Finance started in May 2021 with a bold concept: Build a decentralized credit marketplace for cryptocurrencies, where lenders and borrowers could come together. Unlike many other decentralized finance (DeFi) lending platforms that have cropped up in recent years in the nascent digital-asset industry, Maple’s model would not require extra cryptocurrencies to be deposited as collateral that could be seized or quickly liquidated in the event of a default. Instead, underwriters of various lending “pools” would make the decision on whether to grant loans – essentially evaluating the borrower’s ability to pay based on their creditworthiness alone. (Coindesk)

Arbitrum-based lending platform Lodestar Finance was exploited on Dec. 10, 2022, according to a tweet from the project’s Twitter account on Saturday. Community reports detail that Lodestar lost roughly $6.9 million from the vulnerability.Lodestar Finance Loses $6.9 Million in an Exploit, TVL Drained, LODE Drops by 53%.

Our team created Reliquary as a DeFi-native solution to the problems introduced by current incentive systems.

Grayscale first launched the DeFi Fund in July 2021 but restricted its trading to only privately-accredited investors. However, on Dec. 9, it <a href="https://www.globenewswire.com/news-release/2022/12/09/2571058/0/en/Grayscale-DeFi-Fund-Now-Trading-on-OTC-Markets.html?linkId=193018740">announced</a> that U.S.-based accredited investors can publicly buy and sell the DEFG Shares.

The United States regulators want to take a closer look at money laundering and terror financing laws by the Financial Crimes Enforcement Network (FinCEN), as it asked banking sector players for feedback on DeFi’s crime risks.

GammaSwap recently released a tweet about officially launching on the Arbitrum network. The integration will help GammaSwap collaborate with Arbitrum to be a part of the upcoming DeFi innovation.

Bridging crypto between different smart chains is one of the easiest ways to save on fees. Learn how to bridge between chains quickly and cheaply.

The Non-fungible token (NFT) bubble seemed to have busted as its number of active users fell by 88.9% and the total market cap declined by 42% from a high of $35 billion to $21 billion.

The FTX meltdown may have laid the groundwork for an unprecedented shift in user activity from centralized finance (CeFi) to decentralized finance (DeFi), but the total value locked in the services provided by the latter has taken a serious hit.