Decentralized finance (DeFi) has been the undisputed protagonists of the crypto market in recent months. However, as the DeFi fever seems to be ending, the industry needs to reorient its efforts to remain relevant. For this reason, one of the most important protocols, Yearn Finance, launches a manifesto for the future of DeFi.
The way of the DeFi
The decentralized finance industry has come a long way to get to where it is today. Well, for a long time these protocols based on Blockchain technology were considered a failed project of the crypto world. A promise to revolutionize finances that, after several years, had not generated the great results it promised.
However, all this changed in this year 2020, when in just a few weeks the DeFi market exploded. Increasing in value exponentially, generating multi-million dollar profits for DeFi token holders, and attracting the attention of investors from all over the world. Who entered this market en masse.
But this urge could not be eternal. Well, although the DeFi sector was undoubtedly undervalued prior to the DeFi fever, the speculative impulse that has caused the value of decentralized finance tokens to increase several times generated the opposite evil, overvaluing the sector. Thus generating a bubble, which has finally exploded.
Thus putting the DeFi sector in an important dilemma, having to define how it will take advantage of the attention and importance they have gained in the crypto market, now that speculation is not the engine of its price. Precisely what Yearn Finance tries to define with its manifest.
The Yearn Finance Manifesto
Thus, through the governance section of the Yearn Finance website, a manifesto was published yesterday. In it, one of the main collaborators of the project, Daniel Lehnberg, makes clear what his vision is regarding the future of the project. Creating what is already beginning to be considered a true roadmap for the world of DeFi.
«Yearn is not a company. It does not have a board of directors, nor there is a CEO, there is no team of managers. There is no place for bureaucrats (…) Yearn is a collective of collaborators. There is no difference between “the team” and “the community”, they are one and the same«, Reads the manifesto.
At the time of writing, the Yearn Finance manifesto has already been endorsed by numerous members of the project community. Being signed by two of the five administrators of the Yearn Finance website, known as milkyklim and banteg.
This document would then be the first statement from the DeFi world on how its affairs will be handled, now that the fever for decentralized finance is over. Placing special emphasis on the democratic character of the DeFi, and on the decentralization of power within the protocol.