Polygon Labs CEO Marc Boiron has called for a significant change in how decentralized finance (DeFi) protocols handle liquidity, denouncing the sector's liquidity crisis as self-inflicted. Boiron emphasized the importance of chain-owned liquidity and transparent economic models for sustainable DeFi in an interview. He criticized DeFi protocols for attracting short-term capital with high APYs through token emissions, leading to unstable liquidity. Boiron proposed a shift towards fundamental principles to ensure long-term stability. Polygon's strategy focuses on chain-owned liquidity to promote stability and capital efficiency. Boiron highlighted the need for patience and disciplined management in building treasuries through captured fees or limited emissions. He believes that sustainable treasury management and transparent models are essential for DeFi adoption, not just for institutions. Boiron envisions a more stable DeFi ecosystem by 2026, with stronger governance and innovative financial products bridging traditional finance and digital assets. He emphasized the importance of sustainable economics for long-term success in DeFi. Read more AI-generated news on: https://app.chaingpt.org/news