Former CEO and founder of AngelList Naval Ravikant has always been a vocal proponent for digital assets such as Bitcoin and Ethereum. The angel investor is enthusiastic not only towards cryptocurrencies but decentralized finance too. Last month, in an AMA session on Twitter, Naval described DeFi as the beginning of the end for Wall Street. He even compares DeFi to the most successful startups such as Twitter and Uber saying it’s sustainable.
Naval Ravikant in Favour of DeFi
Co-Inventors of Venture Capital, Nivi a few days back, asked Naval Ravikant:
“Back in the day, you could show up in SF, make a few good decisions, and end up rich and successful in 5-10 years. Now, what do you do?”
The early-stage investor in some of Silicon Valley’s most successful startups including Uber and Twitter, Stack Overflow, Wanelo, replied:
“Same as you always did, move to the frontier. The frontier is the place where the risk-takers have arrived, but the masses and the bureaucrats have not. And today, that frontier is probably DeFi.”
Total Amount of Collateral Locked Reaches $15 Billion
At the beginning of the year, the total amount of collateral locked reached around $15 billion. This represents an increase of 2,100 percent, since the beginning of January. Meanwhile, the total value locked (TVL) across all DeFi protocols has reached $680 million. Throughout the year, major DeFi tokens have performed fantastically, although many did correct heavily over the past couple of months.
By the end of the year, there were nine individual protocols with more than that amount of collateral locked up. Out of which five exceeded a billion dollars in TVL since the year beginning. DeFi has come a long way within a year, and things are only just beginning for this new emerging financial landscape.