One of the most successful innovations to come out of blockchain technology is the introduction of decentralized finance. Decentralized or DeFi is a broad term used to catalog the decentralized applications that integrate traditional financial services into the crypto world.
Decentralized finance applications and protocols are constantly evolving to integrate emerging trends. Over the last few months, the DeFi industry has seen a sudden influx of liquidity-focused decentralized finance projects introducing a new generation of DeFi called DeFi 2.0.
Introducing DeFi 2.0
DeFi 2.0 is a new phrase used in the blockchain world to refer to the subset of DeFi protocols built on breakthroughs such as yield farming. Several on-chain systems powered by native tokens are experiencing new development in liquidity due to DeFi 2.0.