“DeFi will bring about a paradigm shift in the financial industry. How can ordinary investors grasp the appreciation of wealth?

“DeFi may achieve a paradigm shift in the financial industry, and has the potential to help build a stronger, more open and more transparent financial infrastructure.”

The core mechanism of the DeFi ecosystem is to achieve value transfer through over-collateralization, and to map the asset value to the new token symbol; 3) DeFi utilizes the low-cost, fast clearing, and high-efficiency of the blockchain, which can achieve incomparable performance in the traditional financial market. Financial efficiency, higher yields and faster ecological evolution will bring more inspiration to the traditional financial market; 4) Synthetic assets (asset mapping) as a bridge between DeFi and traditional markets will promote the integration of the two。

The next decade or so is bound to be an era of explosion of encrypted digital assets. If ordinary people do not understand reasonable DeFi asset allocation, just like missing real estate, the Internet and Bitcoin, they are destined to be thrown off the wave of development of the times.
Since the second half of last year, the DeFi (open finance) boom has continued to rise, which can be said to be the biggest driver of this round of Bitcoin bull market.

Over the past year or so, the average gains of mainstream cryptocurrencies have basically been around 5 to 10 times. Under the general rise, DeFi’s performance is more eye-catching.

Many new star projects have also followed up. Ten times currency and hundred times currency have returned to the world, and the overall valuation of the DeFi sector has risen.

From the beginning of 2020 to now, the top 10 DeFi currencies have risen

The outbreak of the DeFi ecosystem has also successfully attracted the attention of many domestic and overseas investment institutions, industry media, and investors.

Traditional financial institutions entered the market one after another, Coinbase went public, and Musk invested in BTC, which embodies the new integration of traditional finance and the future crypto world.

Historically, it took decades for the company’s market value to reach $1 trillion. For Bitcoin, it took only 12 years to reach this milestone.

Bitcoin has reached the trillion-dollar market in just 12 years

Currently, the DeFi train is moving forward at high speed. And for a long time in the future, it can be foreseen that the wealth opportunities contained in the DeFi track will continue to ferment.

However, while DeFi creates a new round of “benefit myths”, it also brings a very high cognitive threshold.

As an ordinary investor, do you really understand DeFi?

At present, DeFi has penetrated into various fields such as lending, trading, insurance, derivatives, etc. What is its industry map? How to bet on the next track?

Rather than watching other people create wealth myths in DeFi, it is better to participate in this “rich-making movement” wave yourself.

However, under the phenomenon-level wave, most people’s understanding of DeFi is actually still at the most basic stage:

What is DeFi anyway? Is it the future financial trend or just a Ponzi scheme?

Where is the value of DeFi projects supported? What is the valuation logic and why has it risen so many times?

What is the underlying logic of liquid mining? How to understand and participate in it in an easy-to-understand manner?


This series of seemingly simple questions actually require professional answers.

Only through the chaotic appearance, mastering the logic behind the rise, and replacing space with time, is the basic homework to obtain the wealth code.

The total value of DeFi will increase explosively in the second half of 2020, reaching 150 billion U.S. dollars.

However, each person can only earn money within his own cognition.