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The cryptocurrency world is prone to hype, whether on the grand scale of the ICO boom and Bitcoin price pump of 2017 or the lesser scale of a new project or platform launching. This year has been all about DeFi and its revolutionary potential to reshape finance. In February, total value locked in decentralized finance applications exceeded $1 billion for the first time. By late October, it had hit $12 billion. The growth reflects the increasing willingness of traders to speculate on this nascent and largely experimental sector. With the potential for returns bordering on the ridiculous — 52,000 percent in one estimate — it’s hardly surprising.
But activity in DeFi is now showing signs of slowing down, with the volume on decentralized exchanges starting to drop off. Perhaps this was inevitable, but it