Changchang Peng, CEO of Binance, the world’s largest digital currency exchange platform, said that although many DeFi projects are showing signs of a bubble, decentralized funding will continue to exist.
In an interview with Russian news agency RBC on November 17, Zhao said, “Many DeFi projects are already in a bubble, and I also think there are signs of a bubble in the DeFi industry, but this does not mean that DeFi will eventually disappear completely. ”
Zhao went on to say that the DeFi industry has great growth potential and pointed out that DeFi is still very popular despite the steady growth of Bitcoin (BTC). The CEO also pointed out that the initial token or ICO offering in 2017 was called a bubble, but that many projects that spawned ICOs, including Binance, have always worked well:
“The company creates new tokens and gives them away as rewards. It’s not a long-term story. But I think DeFi will stick. Even now, as Bitcoin’s popularity increases again, DeFi is still popular. . We think there is still a lot of development potential. ”
However, Zhao said that although the industry provides many incentives by cultivating DeFi’s yield and DeFi’s liquidity, some DeFi projects “might not last long.”
Zhao also claimed that cryptocurrencies like Bitcoin are the best form of money, calling it “the free currency of millions of people around the world.” The CEO predicted that the cryptocurrency market is expected to grow 100,000% due to the wider adoption of digital assets than fiat currencies.
When he saw the future of DeFi, Zhao pointed out that the obstacles in the industry reach collective attractiveness. In August, he claimed that centralized exchanges would continue to be popular until decentralized exchanges became more user-friendly.