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Home»DeFi»DEFI must abandon the threshing media for sustainable liquidity
DeFi

DEFI must abandon the threshing media for sustainable liquidity

April 26, 2025No Comments
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The CEO of Polygon Labs, Marc Boiron, called for a fundamental change in the way in which decentralized financing protocols (DEFI) manage liquidity, labeling the current liquidity crisis in the sector as “self-inflicted”.

In an exclusive interview, Boiron described Polygon’s vision for a lasting challenge, emphasizing liquidity belonging to the chain and transparent economic models such as the way to follow.

Boiron criticized the protocols DEFI to feed a cycle of “mercenary capital” by offering annual annual yields (APYS) to chip emissions. “It’s just to rent liquidity; it is not real loyalty,” he told Cintelegraph, noting that such strategies lead to ephemeral liquidity that disappears when yields lower or the prices of tokens weaken. This dependence on the short-term threshing media, he argued, undermines the stability of the sector and dissuades institutional adoption.

Chaan the stability of challenge on media threshing

To break this cycle, Boiron urged protocols to prioritize fundamental principles in relation to flashy yields. “The Defable Defi needs models where liquidity remains for the right reasons,” he said, pointing the Polon Polgon token as a plan to get there.

“Protocols can put their treasure at work, winning the yield instead of diluting the value of the tokens.

Polygon’s approach focuses on the liquidity belonging to the chain, where the protocols build treasury bills to have liquidity positions directly rather than relying on external providers. Unlike token emissions, which, according to Boiron, quickly attract liquidity but diluting the value of the tokens, the liquidity possessed offers long -term stability and an efficiency of capital.

The only compromise in the plan, according to Boiron, is time. He explained that the construction of a treasure by captured costs, liaison mechanisms or limited emissions requires patience and disciplined management.

Polygon is preparing for traditional finance aboard cryptography

For traditional finances (tradfi), stability and predictability of liquidity are prerequisites for complete adoption:

“Traditional finance works on models that need stable and reliable access.

However, Boiron said that polygon solutions – sustainable treasury management, possessed liquidity and transparent models – are not only for institutions. “These are good financial fundamentals that work for any protocol,” he said, rejecting the suggestions that Polygon’s strategy is too narrow to solve the wider DFI problems.

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Build an evolutionary plan for liquidity belonging to the chain

While the polygon is pressure for a defi reset, Boiron remains optimistic about obtaining the support of executives such as European markets in the regulation of cryptocurrencies and the evolution of American councils. “We are 12 to 18 months old to see much more institutional involvement,” he predicted.

Looking in 2026, Boiron plans a more stable challenge ecosystem with less volatility, stronger community governance and sophisticated financial products punctuating tradfi and real assets. He said that Polygon (POL) could reduce dependence on mercenary capital, promoting real decentralization.

He added that Pol is the basis of long -term growth, as it helps protocols focus on building better products and maintaining committed users, instead of connecting liquidity gaps or diluting tokens to stay afloat:

“Pol does not solve itself, but it gives protocols the breathing room to meet larger challenges such as user retention and capital entries in the right way.”

The main message from Boiron to protocols DEFI is clear: “The sustainable economy always wins in the long term.” While market pressures are trying to hunt high apys, he noted that surviving protocols of past cycles prove the value of sustainability. “Other teams are starting to get it,” he said, urging the ecosystem to adopt models that prioritize long-term growth compared to the ephemeral buzz.

Review: Ethereum destroys competition in the tradfi tokenization race of 16.1 t $