KEY TAKEAWAYS
- Bybit’s new DeFi report highlights the growth of real-world assets and decentralized exchanges as key drivers in the sector.
- Institutional adoption is increasing due to regulatory clarity and the integration of DeFi with traditional finance.
- Decentralized exchanges are gaining ground, with platforms like Hyperliquid showing significant trading volumes.
- The report underscores DeFi’s shift towards utility-focused applications and real-world use cases.
Bybit, recognized as the world’s second-largest cryptocurrency exchange by trading volume, has released a new decentralized finance (DeFi) report. The report, announced here, highlights significant shifts within the DeFi sector, focusing on real-world assets (RWA) and decentralized exchanges (DEXs) as emerging drivers of growth.
Unlike the DeFi Summer of 2020, which was characterized by a surge in speculative activity, the current market is being driven by institutional adoption and utility-focused applications. This shift is underscored by the integration of DeFi with traditional finance, facilitated by regulatory clarity and the mainstreaming of stablecoins.
Institutional Adoption and RWA Platforms
The report notes that regulatory developments, such as the GENIUS Act and Circle’s IPO, have spurred institutional interest in DeFi lending and tokenized assets. This has led to a significant increase in total DeFi lending deposits, which have reached $67.8 billion across platforms like Aave, Morpho, and Maple Finance.
RWA platforms, including Securitize, Ondo Finance, and Franklin Templeton, are playing a pivotal role by offering yield opportunities backed by US Treasuries. These platforms are bridging the gap between crypto and mainstream investing, further solidifying DeFi’s position as an on-chain financial infrastructure.
DEXs Compete with Centralized Exchanges
Decentralized exchanges are also gaining traction, with Hyperliquid leading perpetual futures trading with a year-to-date volume of $1.27 trillion. This performance demonstrates that DEXs can compete with centralized exchanges (CEXs), encouraging the development of hybrid platforms like Byreal, which combine CEX liquidity with DeFi transparency.
Despite the positive trends in RWA and DEX sectors, the report highlights divergent performance in other areas. AI-related DeFi tokens, known as DeFAI, are experiencing declining interest, and the growth of liquid staking remains constrained by token volatility.
Overall, the Bybit report provides a comprehensive overview of the current state of DeFi, emphasizing its transition towards utility-focused applications anchored in real-world use cases. As institutional adoption of RWA accelerates and hybrid solutions continue to emerge, DeFi is positioning itself as a key player in the financial landscape.
Why This Matters: Impact, Industry Trends & Expert Insights
Bybit’s recent report underscores the growth in the DeFi sector, particularly in real-world assets (RWA) and decentralized exchanges (DEXs), amidst a general market slowdown.
Recent industry reports indicate a surge in the market for RWAs, with a 260% increase in the first half of 2025. This trend is fueled by the tokenization of assets such as real estate and bonds. This aligns with Bybit’s findings on the growing importance of RWA platforms in DeFi.
As per insights from industry experts, DeFi’s growth in RWA platforms is accelerating due to institutional adoption and regulatory clarity. This supports the report’s emphasis on the institutional interest driving DeFi lending deposits and the bridging of crypto with traditional finance.
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