The dry changes: the tokens of governance DEFI fly away

Like many cryptocurrencies, the governance tokens for DEFI projects have long been in the COLLIMATEUR OF THE SEC. But thanks to Trump's pro-Crypto policy, the Commission began to soften its rules and this fresh air gave a second breath to these governance tokens. For the past week, these tokens have outperformed the rest of the market.

The SEC proposes the implementation of regulations adapted to the DEFI

Since the start of decentralized finance, the DEFI project tokens have been monitored by the SEC. Indeed, the latter has long been suspicious of cryptocurrencies and the difficulty in defining their status. In addition, these governance tokens can, even more than other cryptocurrencies, get closer to certain characteristics of securitiesbecause they can propose a redistribution of their income comparable to dividends.

However, since his election, Donald Trump has developed pro-Crypto voluntarism. Thanks to him, decentralized finance no longer lives under the continual fear of sanctions. Thus, the new president of the SEC, Paul Atkins, proposes to create a more flexible framework for the companies of the DEFI, in a way an “exemption for innovation” SECTED BY SEC.

The American values ​​of economic freedom, private property rights and innovation are included in the DNA of the DEFI movement, or decentralized finance.

Paul Atkins

Among the projects that could take advantage of this change of orientation, the UNISWAP decentralized exchange is undoubtedly the most symbolic. Indeed, the UNI token is currently only served to decide on the orientation of the protocol. Unfortunately, it has already been threatened by the dry to be considered as a model value. It is for this reason that the Uniswap team has always postponed its project to redistribution of income to owners of the UNI token. This blockage can be lifted thanks to the turning point of the dry which adopts a more collaborative approach. The Commission is now listening to players in the sector. The Clarity Act law, which will give a new framework to the DEFI, will complete this new alliance between regulation and defi.

UNI, AAVE and SKY accentuate their upward trend

This new, more positive approach is very favorable to the major projects of decentralized finance. The latter have continued their technological development for years and their rapprochement with tradfi institutions without clearly knowing when legal obstacles could be lifted.

Among the projects of decentralized finance, Uniswap, Aave and Sky (ex-Makerdao) largely benefit from this softening of the dry. The UNI token experiences an increase of 23% over the last seven days, the token has an increase of 11% and the Token Sky an increase of 13%. It can be noted that these three projects come from the Ethereum ecosystem, even if Uniswap and Aave have become multichains. What is even more surprising is that the dynamics between ETH and Defi projects has reversed.

For a long time, it was the upward trend of the ETH which served as an engine for decentralized finance. On the contrary, we can see that it is now this finance that supports Ethereum and its token. In May, Uniswap generated a volume of exchanges of $ 92 billion, its fourth best month since 2020. In addition, an increasing number of ETH are deposited on Aave and Sky to borrow stablecoins and thus obtain more liquidity for trading. The use of these projects has therefore become an essential element of demand in ETH.

Decentralized finance was waiting for a final signal to conquer the tradfi. It is done with the recent changes in the attitude of the dry, which has become much more favorable to the DEFI. Since then, governance tokens have resumed an undeniable upward trend despite the slight correction of the last 24 hours.