The billion dollar companies are extremely interested in DeFi according to a new study conducted by Crypto.com that we have in our crypto news today.
Traditional billion dollar companies are adopting DeFi to improve existing services according to the latest report by Crypto.com which analyzed the adoption of decentralized services. The study found that 86% of companies implemented or are considering implementing financial services based on DeFi. Security concerns and lack of regulations are still the biggest issues to further adoption but according to the study, traditional finance companies are exploring the use of Defi in order to improve their services and to boost revenue stream.
In the report, more than 400 financial companies in banking or insurance in Europe were surveyed to find the challenges and all the opportunities that Defi has to offer. The report discovered a raising interest in Defi among traditional institutions with a stunning 86% of the companies implementing or evaluating crypto-based technologies in order to improve existing services. Kris Marszalek, the co-founder of Crypto.com said:
“The research shows that DeFi’s adoption is not limited to just the blockchain industry; traditional financial institutions of all sizes are viewing DeFi not as a competitive threat but rather as a valuable instrument to delivering more decentralized, efficient financial services. This is shown in their warming attitudes towards DeFi and its integral role in future plans for the vast majority of them.”
The companies that have a balance sheet of above $12.9 billion have either evaluated or implemented some of the Defi features in their businesses. Still, the study found that the security of the funds is a huge barrier for further adoption. The study shows that about 70% of the companies fund safety concerns around a fraudulent activity that have to be resolved before the niche continues to grow. After the security issues, 61% of the survey participants also rank regulatory issues as an obstacle. Despite the barriers, however, the vote of confidence from the major companies is positive.
Of course, there are some that don’t respect the DeFi space as we reported. Dr. Doom Roubini, the popular Bitcoin basher branded the $13 billion DeFi industry as “vaporware” despite its parabolic explosion over the year. The prominent economist known for predicting multiple financial crashes doubled down on his hatred for the BTC and crypto.
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