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Here’s why decentralized finance will completely take over the traditional system, according to Top Crypto Analyst

A well-regarded crypto analyst sees great potential for decentralized finance (DeFi) to disrupt the traditional financial system.
In a new discussion on crypto analyst Benjamin Cowen’s YouTube channel, the moderator of InvestAnswers says DeFi is still as revolutionary as people said it was in 2020.

“I am totally into DeFi. I’m a TradFi guy now so I can see the potential. I can see what is actually happening live, the development of DApps (decentralized applications) revolutionizing literally everything from payments to borrowing, lending, financing and derivatives. Everything will move to the chain. Everything is tokenized.”

As the total value locked in decentralized finance protocols surges from just under $30 billion in 2020 to $71.59 billion currently, the analyst says the sector will continue to grow.

He also says he’s bullish on smart contract platforms Ethereum (ETH) and Solana (SOL) due to the expectation that DeFi will take over the traditional financial system.

“DeFi will be huge. It’s a $40 trillion market. That’s why I’m so bullish on things like Ethereum despite its issues and lags and everything else and Solana.

I think there will be room for many later to do a whole range of things that will literally disrupt the traditional banks, the Visa and Mastercards, the borrowers, the lenders, the capital markets – you name it. Everything will get excited. We just don’t know when a turning point will come.

Also if you look at transaction volumes on things like Ethereum and Solana today, it’s mind boggling and you can actually use basic traditional valuation models to value things like Ethereum and for that, Ethereum is actually undervalued today.”

Check the price action

Source: Crypto News Deutsch

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