DeFi Updates

🇪🇺 DeFi may struggle to stay decentralized after new EU law DeFi’s exemption from MiCA regulation may fade as an update targets protocols with centralized components. The sector could split between hybrid and DeFi models. New regulations in the European Union may soon force decentralized finance (DeFi) protocols to make tough decisions. At the heart of the issue is the tendency of many DeFi protocols to have centralized front-ends and intermediaries. Source @DeFi_Updates

📣 Mastercard and Kima Take One Step Closer to a ‘DeFi Credit Card’ Kima, the peer-to-peer money transfer and payment protocol, has taken a significant step forward in the fintech landscape by joining the FinSec Innovation Lab. This accelerator, spearheaded by Mastercard, focuses on fintech and cybersecurity advancements. Additionally, Kima has secured a grant from the Israel Innovation Authority (IIA) to support an ambitious project aimed at connecting decentralized finance (DeFi) applications with traditional fiat systems. Source @DeFi_Updates

📣 DeFi platforms Lido and Aave surpass Bitcoin and Ethereum in fee generation Decentralized finance projects Lido and Aave generated more fees in the last 24 hours than top blockchain networks like Bitcoin, Ethereum, and Solana. According to DeFillama data, Lido accrued $2.34 million, while Aave amassed $1.85 million during this period. In contrast, Ethereum, Bitcoin, and Solana secured $1.84 million, $1.34 million, and $1.17 million, respectively, in fees. Source @DeFi_Updates

💰 Solana's Defi Landscape to Shift With Marginfi’s Introduction of YBX Stablecoin The decentralized lending protocol built on the Solana blockchain, Marginfi, announced the upcoming launch of YBX, which is expected to be the first notable decentralized stablecoin on Solana, aiming to provide an alternative to the network’s heavy reliance on Circle’s centralized stablecoin usd coin (USDC). Source @DeFi_Updates

🪙 Uniswap Founder: Biden’s Election at Risk Due to Crypto Regulation Threat! Uniswap founder Hayden Adams has made a bold statement regarding the cryptocurrency market, emphasizing the widespread adoption of digital currencies among adults. This assertion underscores the increasing relevance and impact of cryptocurrencies in today’s financial landscape. As more individuals embrace digital assets as a viable investment option, the traditional financial sector faces mounting pressure to adapt to this shifting paradigm. Source @DeFi_Updates

💰 Institutions Likely To Show Interest in Bitcoin DeFi Applications Bitcoin (BTC) is rapidly evolving. While the Bitcoin network has primarily been used for payment transactions, current activity appears to be resembling that of Ethereum during the height of decentralized application (Dapp) projects. The introduction of Bitcoin Runes and BRC-20 tokens – which emerged during the time of the fourth Bitcoin halving event – has likely sparked the evolution of Bitcoin-native decentralized finance (DeFi). Source @DeFi_Updates

📊 AI-powered DeFi platform introduces token mints by placing orders Brightpool Finance focuses on reducing entry barriers and enhancing price stability in the DeFi space through AI-calculated trading rewards and price-freezing features. Bitcoin has enjoyed some chill time, it is still not at the level desired by investors who seek to avoid unpredictable prices. Moreover, low liquidity in the decentralized finance (DeFi) sector, which has a market capitalization under $100 billion compared to Bitcoin’s $1.2 trillion, further increases price volatility. Source @DeFi_Updates

🪙 Uniswap frontend is feeling the pressure since fee hike Uniswap Labs increased the fee to swap on its interface from 0.15% to 0.25%. The fee applies to most, but not all, swaps that are executed using the Uniswap web interface and wallet. Traders can use aggregators, alternate UIs, or go directly through the smart contract to make swaps. When the fee was first introduced in October 2023, Uniswap founder Hayden Adams said it would allow his team to “continue to research, develop, build, ship, improve, and expand crypto and DeFi.”. Source @DeFi_Updates

🇬🇧 UK’s FCA Seeks Balanced Crypto Regulation By Merging TradFi And DeFi Approaches The UK’s Financial Conduct Authority (FCA) aims to strike a balance in regulating cryptocurrencies by merging the best elements of traditional finance (TradFi) and decentralized finance (DeFi). Matthew Long, the FCA’s director of payments and digital assets, emphasizes the necessity of this strategy for effective regulation during his speech at the FT Crypto and Digital Assets Summit on May 8. Source @DeFi_Updates

📣 Crypto lending platform Nexo allocates $12M for ecosystem incentives Crypto lending protocol Nexo is allocating 10 million NEXO tokens, worth $12.5 million at the time of publication, to its users. "Stack points, multiply your gains, and unlock more surprises," wrote Nexo developers on May 8 regarding the protocol's sixth anniversary. "The Nexonomics-inspired hunt is designed to reward new and existing users for exploring the Nexo ecosystem.". Source @DeFi_Updates