#BecomeCreator #defi 🚀🚀🚀 *** The 3 Narratives Dominating DeFi
The solid pillars of infrastructure within the DeFi ecosystem. These sectors are not passing hype; they are the gears that keep the DeFi engine running and point to a more robust cycle.
1. Staking: Liquidity + Yield - Staking has ceased to be a resource for 'locking assets' and has become a strategic tool. Liquid staking allows investors to maintain yield without giving up liquidity, and protocols like Lido (Industry leader, with stETH dominating liquid staking on Ethereum), Ether.fi (Popularizing decentralized staking, focusing on user security and autonomy), and Jito (Focused on Solana, combining staking with 'MEV-Maximal Extractable Value'), bringing additional gains.
This narrative grows because it offers passive income with flexibility, attracting both institutional and retail investors.
2. Lending – Decentralized Credit - If staking is the 'fixed income' of DeFi, lending is the global credit market without intermediaries. Protocols like Aave (Absolute reference in decentralized lending), Compound (Pioneer in creating the lending model in DeFi), and Kamino (Innovating in the Solana ecosystem with automated strategies and optimized pools).
These protocols keep liquidity flowing, enabling leverage, arbitrage strategies, and capital raising without selling assets.
3. Restaking – Efficiency and Risk - The hottest narrative at the moment, restaking. This technology allows the repurposing of collateral already in staking to generate new streams of yield. Highlights include EigenLayer (Creator of the narrative, allowing already staked ETH to be reused in new protocols), BounceBit (Expanding the logic to Bitcoin, making restaking with BTC possible and opening new layers of capital efficiency).
Restaking represents yield multiplication, but also accumulation of risk, creating a more sophisticated and interconnected ecosystem.
These three narratives are attracting institutional liquidity, strengthening the market base, and signaling that the next cycle will not be just about price, but about infrastructure and capital efficiency.