Has Liquidity Provision Become a Key Pillar of DeFi?
For investors, the characteristics of asset liquidity are crucial, and it is no exception in the decentralized world of finance and investment. Similarly, liquidity is also a key factor for long-term success of exchanges, and it helps constitute the infrastructure for buying and selling crypto assets. But what exactly is liquidity? What is the liquidity situation related to DeFi? DeFi is a crypto field where, to date, total value locked has exceeded $42 billion. (If you're unsure what total value locked means in the context of DeFi, check this out).