Despite the rapid growth of DeFi over the last 2 years, it has still not yet reached its peak.
We believe Astra is the key to unlocking DeFi’s full potential and to persuading major institutions to adopt the technology as the future of finance.
The total value locked (TVL) in DeFi has risen to $195 billion, jumping more than 14% over the last two weeks from $171 billion and over the last two years, escalating beyond expectation.
Despite the extraordinary rise in DeFi it still hasn’t reached its full potential. Its popularity has grown sharply through various means, as both startups and now traditional banking institutions are recognizing the value DeFi brings. The constantly expanding projects involved have persuaded regulators, who have previously watched from the side-lines, to sit up and take notice of the inevitable expansion of the space.
The CEO of the European Banking Federation (EBF), Wim Mijs, has said, “The future of AML is rooted in the use of innovative technologies and shared solutions that, in practice, enhance experts’ judgment and reveal the full picture when dealing with complex criminal networks.” Although speaking around financial regulation in general, this is also equally, if not more applicable to decentralized finance.
KYC and AML compliance is resource-heavy and time-consuming for both traditional and decentralized finance bodies to navigate. Self-regulation is necessary for survival, and the DeFi and wider crypto community is beginning to recognize this. DeFi requires an innovative solution to adhere to the proposed incoming regulatory escalations. This solution would allow protocols to comply without compromising their offerings or becoming centralized themselves.
Astra Protocol is the solution.
In its current state, there is a lack of DeFi companies that are compliant with regulations worldwide, and if these companies hope to reach their full potential, this has to change. At a precarious period in which there is so much anticipation, Astra seeks to provide the necessary confidence in the crypto and blockchain ecosystems and to propel DeFi companies into new growth, releasing the industry into institutional expansion.