Vitalik on a bearish move, dYdX decentralizing

Vitalik on a bearish move, dYdX decentralizing

In this week’s Finance Redefined, Vitalik Buterin presented his thoughts on a cross-chain blockchain future, dYdX revealed ambitions for full decentralization in 2022, and Near Protocol raised $150 for Web3 technology.

The market has gloomy figures for the second week in a row. However, there is plenty of optimistic fundamental news in the business. Continue reading to learn about the most noteworthy DeFi stories from the past seven days. Vitalik is enthusiastic about the future of Web3 as a multichain, not cross-chain, world.

Vitalik Buterin, a co-founder of Ethereum, gave a realistic evaluation of the blockchain industry’s security difficulties in developing fully effective cross-chain bridges

“It’s always safer to hold Ethereum-native assets on Ethereum or Solana-native assets on Solana than it is to hold Ethereum-native assets on Solana or Solana-native assets on Ethereum,” Buterin said. He argues that storing assets on their native chain provides a higher level of security against 51 % attacks than cross-chain activities.

Outlook on dYdX in late 2022

This week, dYdX, the layer-two derivatives protocol, released the fourth iteration of its roadmap. It outlined that it aims to turn the platform into an open-source, community-centric, and completely decentralized operation by the end of the year.

Staking and governance are decentralized. However, key operations like the off-chain order book and matching engine are managed by an in-house business, dYdX Trading Inc, and powered by centralized servers like Amazon Web Services.

The smart contract platform set aside $800 million in October 2021 for new Decentralized Finance (DeFi) projects. It includes developer apps, startup grants, and regional fund pots.

Only symbolic performances

According to analytical data, DeFi’s total value locked down 2.77 % this week to $128.15 billion, maintaining the market’s downward trend.

According to data from Cointelegraph Markets Pro and TradingView, the top 100 tokens by market capitalization in DeFi have been mostly positive in the previous seven days.

For the second week in a row, Secret (SCRT) has taken the lead with 15% of the vote. Terra gained 6.32 %, while 1inch Network (1INCH) climbed 2.9 %.