#DeFiGetsGraded

DeFi is finally being graded, providing users with a more direct means of evaluating the safety and dependability of decentralized finance platforms. Grades such as the DeFi Pulse Economic Safety Grade, which was built in collaboration with Gauntlet Networks, provide a real-time 0 to 100 score to gauge the risk of insolvency of lending protocols.

Easy to understand, this rating allows investors, particularly newcomers to easily rank platforms and select safer destinations for their money. By making risk more comprehendible, these grades increase transparency, foster trust, and promote wider DeFi adoption.

Others, like Credora's crypto risk rating system, are driving the space toward standardization and more prudent practices. As the DeFi ecosystem continues to mature, such grading systems have the ability to fill the gap between complicated technical metrics and actionable investment choices, allowing both retail and institutional players to better understand the space and move forward with confidence and informed decision-making.