DeFi vs CeFi: What’s Winning in 2025?
Published: 2025-04-29
Status:
Available
|
Analyzed
Published: 2025-04-29
Status:
Available
|
Analyzed
Predictions from this Video
Incorrect: 0
Prediction
Topic
Status
The crypto lending sector is predicted to become larger than ever.
"the lending sector will be bigger than ever"
Pending
Institutional investors will gain confidence and explore more complex areas of DeFi.
"institutional investors will have much more confidence in exploring some of crypto's more nuanced corners including DeFi"
Pending
Crypto lending is expected to experience significant growth as the tokenized RWA sector gains momentum.
"crypto lending will grow in a big way as the tokenized realorld asset sector or tokenized RWA gains traction"
Pending
Institutions are actively seeking to use DeFi to create yield on previously off-chain assets.
"institutions are desperate to leverage DeFi to find new ways to generate a yield on assets that were previously offchain"
Pending
The crypto lending market is showing signs of recovery.
"the lending market is recovering well since SPF blew crypto all the way to hell"
Pending
The DeFi lending sector is expected to benefit from the ongoing bull market as investors borrow crypto to invest in altcoins.
"This sector will likely benefit as the bull market continues. That's because investors will want to borrow against the BTC ETH and other large cryptos they have to invest in other cryptos mostly altcoins"
Pending
The future of on-chain credit will involve the tokenization of debt, enhancing utility, transparency, and automation.
"the future of onchain credit lies in the tokenization of debt bringing more utility transparency and automation"
Pending
The future of DeFi lending depends on increased adoption by institutions and off-chain firms as they become more comfortable with blockchain technology and regulatory clarity improves.
"the future of DeFi lending hinges on more institutions and off-chain firms using its tech as they get more comfortable with the blockchain see the benefits of going onchain and gain clearer regulatory guidance"
Pending
An increasing number of centralized companies are shifting their private credit and business operations to on-chain platforms.
"more centralized firms are moving their private credit and business operations onchain"
Pending
By the end of 2024, DeFi lending (excluding CDP stable coins) is projected to hold 63% of the crypto lending market, nearly double that of CFI.
"by the end of 2024 DeFi lending excluding CDP stable coins was almost double that of CFI holding 63% of the crypto lending market"
Pending
DeFi borrowing is predicted to surge by 959% from $1.8 billion to $19.1 billion by the end of 2024.
"DeFi borrowing hit a low of $1.8 billion during the bare market but surged 959% to $19.1 billion by the end of 2024"
Pending
CFI lending is projected to recover to $11.2 billion by Q4 2024, representing a 73% increase from its bare market low.
"by Q4 of 2024 it had recovered 73% to 11.2 billion"
Pending
The future of on-chain credit will be driven by the tokenization of debt, which will enhance utility, transparency, and automation.
"the future of onchain credit lies in the tokenization of debt bringing more utility transparency and automation"
Pending
Regulatory changes will enable banks to offer cryptocurrency services, including lending.
"banks can offer crypto services again including lending"
Pending
Bitcoin Exchange Traded Products (ETPs) will become a new form of collateral for lending.
"bitcoin ETPs have also created opportunities for lending with ETPs serving as collateral"
Pending
VC investment in crypto lending apps is expected to decline significantly to 0.62% by the end of 2024, down from a peak of 9.75% in late 2022.
"VC allocations to crypto lending apps made up only 2.8% of total VC investment from Q1 2022 to Q4 2024 the highest share was 9.75% in late 2022 but by the end of 2024 it had dropped to just 0.62%"
Pending
The market share of CDP stable coins is projected to decrease from 10.3% to 4.1% by March 31st.
"CDP stablecoin share of the stable coin market fell from 10.3% to 4.1% by the 31st of March"
Pending
The market cap of CDP stable coins is expected to fall by 55% from $17.3 billion in January 2022 to $7.9 billion by March.
"their market cap dropped 55% from $17.3 billion in January 2022 to $7.9 billion by March"
Pending
DeFi lending is predicted to dominate the crypto lending market by the end of 2024, holding 63% and being nearly double that of CFI.
"by the end of 2024 DeFi lending excluding CDP stable coins was almost double that of CFI holding 63% of the crypto lending market"
Pending
Delta-neutral stable coins like Athena's USDE are emerging and influencing the market.
"things like Deltaneutral stable coins such as Athena's USDE have emerged"
Pending
The crypto lending industry is expected to implement stricter risk management and due diligence practices.
"the industry began to self-regulate with tighter risk management and more thorough due diligence"
Pending
Banks and institutions are anticipated to enter the crypto lending space, leading to improved capital access, liquidity, and lower costs.
"banks and institutions entering the space improving capital access and liquidity while lowering costs"
Pending
The SEC's repeal of Staff Accounting Bulletin 121 (SAB 121) will permit banks to offer crypto services, including lending.
"the SEC repealing SAP 121 meaning banks can offer crypto services again including lending"
Pending
DeFi borrowing is predicted to experience a substantial surge, increasing by 959% from $1.8 billion to $19.1 billion by the end of 2024.
"DeFi borrowing hit a low of $1.8 billion during the bare market but surged 959% to $19.1 billion by the end of 2024"
Pending
Crypto lending reached a peak of $48.4 billion in Q4 2021, excluding CDP stable coins.
"in Q4 2021 crypto lending hit $48.4 billion excluding the market cap of collateral debt position or CDP stable coins"
Pending
Crypto lending is projected to recover to $30.2 billion by the end of 2024, reflecting a 214% growth.
"by the end of 2024 it had recovered to $30.2 billion marking a $214% growth"
Pending
The total crypto lending market, including CDP stable coins, peaked at $64.4 billion in Q4 2021.
"when you include CDP stable coins the crypto lending market peaked at 64.4 billion in Q4 2021"
Pending
The crypto lending market, including CDP stable coins, is expected to rebound to $36.5 billion by the end of 2024, a 157% increase.
"but then rebounded by 157% to $36.5 billion by the end of 2024"
Pending
CDP stable coins are losing market dominance due to improved DeFi lending terms, increased stable coin liquidity, and the emergence of new stable coin types like USDE.
"CDP stable coins have actually lost dominance as DeFi lending terms improved stable coin liquidity increased and things like Deltaneutral stable coins such as Athena's USDE have emerged"
Pending
CFI and DeFi lending platforms collectively raised $1.63 billion across 89 deals from Q1 2022 to Q4 2024.
"CFI and DeFi lending platforms raised $1.63 billion across 89 deals between Q1 2022 and Q4 2024"
Pending
Venture capital funding for crypto lending platforms peaked in Q2 2022, reaching $52 million.
"q2 of 2022 marked the peak of funding at $52 million"
Pending
Venture capital funding for crypto lending platforms hit a low of $2.2 million in Q4 2023.
"while Q4 of 2023 marked the low at just $2.2 million"
Pending
From Q1 2022 to Q4 2024, crypto lending apps received only 2.8% of total venture capital investment.
"VC allocations to crypto lending apps made up only 2.8% of total VC investment from Q1 2022 to Q4 2024"
Pending
The value of ASIC collateral backing loans for miners is estimated to have decreased by over 90%.
"the ASIC collateral backing loans taken out by miners lost over 90% in value"
Pending
The crypto lending market is expected to experience substantial growth, driven by the increasing traction of the tokenized real-world asset (RWA) sector.
"crypto lending will grow in a big way as the tokenized realorld asset sector or tokenized RWA gains traction"
Pending
On-chain loans are projected to be 18% higher than the previous bull market peak of $16.2 billion by Q4 2024.
"by Q4 2024 onchain loans were 18% higher than the 16.2 billion peak of the previous bull market"
Pending
DeFi is expected to have a faster recovery than CFI due to its permissionless nature and the resilience of its protocols.
"notably DeFi rebounded much faster than CFI thanks to its permissionless nature and the fact that most DeFi protocols continued to function and didn't go bankrupt unlike their CFI counterparts"
Pending
Over-the-counter (OTC) interest rates are expected to range between 7% and 10%.
"OTC rates range between 7% and 10%"
Pending
On-chain stable coin interest rates are expected to be volatile, potentially spiking up to 15%.
"onchain rates are more volatile spiking up to 15%"
Pending
On-chain interest rates for USDC and USDT will diverge due to differences in their use cases and risk profiles, despite similar OTC rates.
"usdc and USDT have similar OTC rates but onchain their rates differ due to varied use cases and risk profiles"
Pending
Over-the-counter (OTC) Bitcoin rates are expected to increase due to rising demand for shorting.
"OTC demand comes from shorting BTC and using it as loan collateral for example after FTX collapsed in 2022 OTC rates for BTC spiked from an increase in shorting demand"
Pending
In February 2024, firms borrowed BTC for stablecoin or cash loans at the beginning of the bull market, leading to increased OTC rates.
"likewise in February 2024 they rose again as firms borrowed BTC for stablecoin or cash loans at the start of the bull market"
Pending
Off-chain ETH interest rates are expected to remain stable, influenced by ETH staking yields.
"off-chain ETH rates are stable driven by ETH staking yield"
Pending
On-chain ETH interest rates will remain close to staking yields as lenders prefer lower rates and borrowers have limited incentives to borrow due to fewer yield opportunities.
"onchain rates stay close to this level as lenders prefer lending below the staking rate while borrowers lack incentives to borrow ETH due to limited yield opportunities"
Pending
OTC ETH rates will mirror BTC's pattern, driven by shorting demand in bear markets and collateral use in bull markets.
"otc ETH rates follow a similar but milder pattern to BTC shorting drives demand in bare markets and collateral use rises in bull markets"
Pending
The combined supply of CDP stable coins is projected to be $9.6 billion by the end of March.
"CDP stable coins which had a combined supply of $9.6 billion by the end of March"
Pending
Sky USDS (formerly D) is expected to hold the majority of the CDP stable coin supply, with $8.7 billion.
"sky USDS formerly D had the lion share of this with $8.7 billion in supply"
Pending
CDP stable coins are projected to remain 46% below their peak supply of $17.6 billion reached in January 2022.
"CDP stable coins are still 46% below their peak of 17.6 billion in January 2022"
Pending
Borrowing rates for Ethereum Liquid Staking Tokens (LSTs) are expected to be around 0.5%.
"borrowing rates for ETH LSTs are around 0.5%"
Pending
Borrowing rates for Ether (ETH) are expected to be around 2.5%.
"whereas it's roughly 2.5% for ETH"
Pending
Wrapped Bitcoin (wBTC) is expected to maintain low borrowing costs due to its primary use as collateral, leading to lower borrowing demand compared to native BTC.
"wrapped BTC has maintained low borrowing costs since it's mostly used as collateral meaning there's far less borrowing demand compared to plain old BTC"
Pending
The DeFi lending sector is poised for growth during the ongoing bull market.
"This sector will likely benefit as the bull market continues."
Pending
The crypto lending market is showing a strong recovery trend.
"it's clear that the lending market is recovering well since SPF blew crypto all the way to hell"
Pending
Institutional investors are predicted to gain increased confidence and explore more complex aspects of DeFi.
"institutional investors will have much more confidence in exploring some of crypto's more nuanced corners including DeFi"
Pending
The growth of the tokenized real-world asset (RWA) sector is expected to significantly boost crypto lending.
"crypto lending will grow in a big way as the tokenized realorld asset sector or tokenized RWA gains traction"
Pending
Institutions are actively seeking to utilize DeFi for yield generation on assets that were previously off-chain.
"institutions are desperate to leverage DeFi to find new ways to generate a yield on assets that were previously offchain"
Pending
Following regulatory changes, banks will be enabled to offer crypto lending services.
"banks can offer crypto services again including lending"
Pending
Bitcoin ETPs are expected to emerge as a new form of collateral for lending activities.
"bitcoin ETPs have also created opportunities for lending with ETPs serving as collateral"
Pending
DeFi lending is projected to hold a 63% market share in the crypto lending space by the end of 2024, nearly doubling that of CFI.
"by the end of 2024 DeFi lending excluding CDP stable coins was almost double that of CFI holding 63% of the crypto lending market"
Pending
On-chain loans are predicted to exceed the previous bull market peak of $16.2 billion by 18% by Q4 2024.
"by Q4 2024 onchain loans were 18% higher than the 16.2 billion peak of the previous bull market"
Pending
DeFi is expected to recover more rapidly than CFI due to its inherent permissionless nature and the operational stability of its protocols.
"DeFi rebounded much faster than CFI thanks to its permissionless nature and the fact that most DeFi protocols continued to function and didn't go bankrupt unlike their CFI counterparts"
Pending
On-chain interest rates are expected to be more volatile, reaching up to 15%, whereas OTC rates will likely remain within the 7% to 10% range.
"onchain rates are more volatile spiking up to 15% while OTC rates range between 7% and 10%"
Pending
Demand for Bitcoin in the over-the-counter (OTC) market is driven by shorting activities and its use as loan collateral.
"OTC demand comes from shorting BTC and using it as loan collateral"
Pending
ETH interest rates, both on-chain and off-chain, will be influenced by ETH staking yields, with lenders preferring rates below staking yields and borrowers having limited incentives to borrow.
"off-chain ETH rates are stable driven by ETH staking yield onchain rates stay close to this level as lenders prefer lending below the staking rate while borrowers lack incentives to borrow ETH due to limited yield opportunities"
Pending
The market share of CDP stable coins is projected to decrease from 10.3% to 4.1% by March 31st.
"CDP stablecoin share of the stable coin market fell from 10.3% to 4.1% by the 31st of March"
Pending
The market capitalization of CDP stable coins is expected to decline by 55%, from $17.3 billion in January 2022 to $7.9 billion by March.
"their market cap dropped 55% from $17.3 billion in January 2022 to $7.9 billion by March"
Pending
The growth of DeFi lending is contingent upon increased adoption by institutions and off-chain firms, driven by growing comfort with blockchain and clearer regulatory guidance.
"the future of DeFi lending hinges on more institutions and off-chain firms using its tech as they get more comfortable with the blockchain see the benefits of going onchain and gain clearer regulatory guidance"
Pending
A growing trend indicates that centralized companies are migrating their private credit and business operations onto blockchain platforms.
"more centralized firms are moving their private credit and business operations onchain"
Pending
Regulatory changes will permit banks to offer a range of crypto services, including lending.
"banks can offer crypto services again including lending"
Pending
Bitcoin Exchange Traded Products (ETPs) are expected to become a significant source of collateral for lending activities.
"bitcoin ETPs have also created opportunities for lending with ETPs serving as collateral"
Pending
The tokenization of debt is predicted to be the key driver for the future of on-chain credit, enhancing utility, transparency, and automation.
"the future of onchain credit lies in the tokenization of debt bringing more utility transparency and automation"
Pending
The crypto lending market is demonstrating a strong recovery.
"the lending market is recovering well"
Pending
The DeFi lending sector is expected to experience growth during the ongoing bull market.
"This sector will likely benefit as the bull market continues."
Pending
Institutional investors are predicted to increase their exploration of complex areas within DeFi due to growing confidence.
"institutional investors will have much more confidence in exploring some of crypto's more nuanced corners including DeFi"
Pending
The growth of the tokenized real-world asset (RWA) sector is expected to be a major catalyst for significant growth in crypto lending.
"crypto lending will grow in a big way as the tokenized realorld asset sector or tokenized RWA gains traction"
Pending
Institutions are actively seeking to utilize DeFi to generate yield on assets that were traditionally held off-chain.
"institutions are desperate to leverage DeFi to find new ways to generate a yield on assets that were previously offchain"
Pending
Following regulatory adjustments, banks will be permitted to offer crypto lending services.
"banks can offer crypto services again including lending"
Pending
Bitcoin ETPs are expected to emerge as a new collateral option within the lending market.
"bitcoin ETPs have also created opportunities for lending with ETPs serving as collateral"
Pending
By the end of 2024, DeFi lending (excluding CDP stable coins) is projected to account for 63% of the crypto lending market, nearly double the share of CFI.
"by the end of 2024 DeFi lending excluding CDP stable coins was almost double that of CFI holding 63% of the crypto lending market"
Pending
On-chain loans are anticipated to be 18% higher than the previous bull market peak of $16.2 billion by Q4 2024.
"by Q4 2024 onchain loans were 18% higher than the 16.2 billion peak of the previous bull market"
Pending
DeFi is expected to recover at a faster pace than CFI due to its permissionless architecture and the resilience of its protocols.
"DeFi rebounded much faster than CFI thanks to its permissionless nature and the fact that most DeFi protocols continued to function and didn't go bankrupt unlike their CFI counterparts"
Pending
On-chain interest rates are predicted to be more volatile, potentially reaching 15%, while OTC rates are expected to stay within the 7%-10% range.
"onchain rates are more volatile spiking up to 15% while OTC rates range between 7% and 10%"
Pending
Over-the-counter (OTC) demand for Bitcoin is influenced by short-selling activities and its utilization as collateral for loans.
"OTC demand comes from shorting BTC and using it as loan collateral"
Pending
ETH interest rates, both on and off-chain, will be anchored by ETH staking yields, with borrowers showing less incentive to take out loans.
"off-chain ETH rates are stable driven by ETH staking yield onchain rates stay close to this level as lenders prefer lending below the staking rate while borrowers lack incentives to borrow ETH due to limited yield opportunities"
Pending
The market share of CDP stable coins is projected to decline from 10.3% to 4.1% by March 31st.
"CDP stablecoin share of the stable coin market fell from 10.3% to 4.1% by the 31st of March"
Pending
The market capitalization of CDP stable coins is forecast to decrease by 55%, from $17.3 billion in January 2022 to $7.9 billion by March.
"their market cap dropped 55% from $17.3 billion in January 2022 to $7.9 billion by March"
Pending
The adoption of DeFi lending is expected to increase as institutions and off-chain firms become more comfortable with blockchain technology and regulatory clarity improves.
"the future of DeFi lending hinges on more institutions and off-chain firms using its tech as they get more comfortable with the blockchain see the benefits of going onchain and gain clearer regulatory guidance"
Pending
Centralized companies are increasingly migrating their private credit and business operations to on-chain platforms.
"more centralized firms are moving their private credit and business operations onchain"
Pending
Banks will be enabled to offer crypto lending services due to regulatory changes.
"banks can offer crypto services again including lending"
Pending
Bitcoin ETPs are expected to become a new form of collateral in the lending market.
"bitcoin ETPs have also created opportunities for lending with ETPs serving as collateral"
Pending
The future of on-chain credit will be driven by the tokenization of debt, enhancing utility, transparency, and automation.
"the future of onchain credit lies in the tokenization of debt bringing more utility transparency and automation"
Pending
The crypto lending market is showing a strong recovery trend.
"the lending market is recovering well"
Pending
The DeFi lending sector is expected to experience growth during the ongoing bull market.
"This sector will likely benefit as the bull market continues."
Pending
Institutional investors are predicted to increase their exploration of complex areas within DeFi due to growing confidence.
"institutional investors will have much more confidence in exploring some of crypto's more nuanced corners including DeFi"
Pending
The growth of the tokenized real-world asset (RWA) sector is expected to be a major catalyst for significant growth in crypto lending.
"crypto lending will grow in a big way as the tokenized realorld asset sector or tokenized RWA gains traction"
Pending
Institutions are actively seeking to utilize DeFi to generate yield on assets that were traditionally held off-chain.
"institutions are desperate to leverage DeFi to find new ways to generate a yield on assets that were previously offchain"
Pending
Banks will be enabled to offer crypto lending services due to regulatory changes.
"banks can offer crypto services again including lending"
Pending
Bitcoin ETPs are expected to emerge as a new form of collateral in the lending market.
"bitcoin ETPs have also created opportunities for lending with ETPs serving as collateral"
Pending