DeFi needs regulation to build trust, attract institutional investment, and ensure long-term viability despite its decentralized nature.
Opinion by Hong Yea, Co-Founder and CEO of GRVT.
The position taken by some crypto industry experts on regulation and compliance in the decentralized finance (DeFi) space can be striking at times. Whether at conferences and on panels or attending more casual side events, I’ve heard peers and competitors argue that DeFi is already self-regulated and has overcome the need for regulation. Their argument is based on the valid point that DeFi logic is embedded in the blockchain.
The logic, however, ends right there.
