Decentralized finance (DeFi) may only be years away from mainstream adoption, according to Chainlink co-founder Sergey Nazarov. However, significant regulatory and institutional hurdles must still be cleared before it can achieve global scale.
“I think we’re about 30% of the way there,” Nazarov said during an interview with MN Capital founder Michael van de Poppe published to YouTube on Tuesday.
DeFi, which is peer-to-peer financial services built on blockchain networks, could reach 50% global adoption once clearer regulation and legislation can explain why it is reliable, according to Nazarov.
Other industry executives have shared a similar view. Curve Finance founder Michael Egorov said in February that the biggest hurdles to DeFi adoption come from regulatory and legal uncertainty, as well as the need to comply with Know Your Customer (KYC) and Anti-Money Laundering (AML) requirements.
He also pointed to issues around liquidity and transparency of transactions and technical security risks.
“I think we’re about 30% of the way there,” Nazarov said during an interview with MN Capital founder Michael van de Poppe published to YouTube on Tuesday.
DeFi, which is peer-to-peer financial services built on blockchain networks, could reach 50% global adoption once clearer regulation and legislation can explain why it is reliable, according to Nazarov.
Other industry executives have shared a similar view. Curve Finance founder Michael Egorov said in February that the biggest hurdles to DeFi adoption come from regulatory and legal uncertainty, as well as the need to comply with Know Your Customer (KYC) and Anti-Money Laundering (AML) requirements.
He also pointed to issues around liquidity and transparency of transactions and technical security risks.