Electric Capital partner shares 5 major DeFi trends to watch, involving projects like Aave, EigenLayer, etc.

DeepTechFlow News: Electric Capital partner Ken Deeter shared five DeFi trends he is focusing on.

• Firstly, the convergence of lending markets, such as $Aave, Morpho Labs, Silo Finance, Euler Labs, Kamino, and Fraxlend, where feature sets are merging, ubiquitous circular lending, and a future focus on use cases, partnerships, and ecosystems.

• Secondly, rebalancing treasuries, such as Tokemak, Cove Finance, and Veda Labs, bringing more yield to users and providing more efficient liquidity to markets and ecosystems.

• Thirdly, term assets, such as veTokens, Term Labs, Pendle, Hourglass, and Frax Bonds, are all building infrastructure for asset markets with terms and maturity dates.

• Fourthly, Real World Assets (RWA), including stablecoins, treasury bills, and reinsurance, will become the backbone of on-chain economic activities.

• Fifthly, re-staking, such as EigenLayer, the idea of putting any yield-bearing asset at risk to support other protocols has strong potential.

Ken Deeter stated that despite the bear market, teams are continuously building new significant projects, which is exciting.