The Baking Sheet – Issue #42 from the Tezos Commons featured the growth of DeFi in the Tezos Ecosystem as a part of the Biannual Report.

The report hopes to see some good time roll in April.  They pointed to how March was a record breaking milestone for network activity. For clarity, network activity represents the tasks that are happening within the flow of a network logistics, planning, and execution processes within a project. In this case the activity levels in the network has increased.

Quipuswap DEX was a highly anticipated launch in the Tezos (XTZ) Ecosystem and this launch has taken the activity process a step forward.

The DeFi on Tezos with the launch of Quipuswap DEX is very obvious.  Several new DeFi apps are getting introduced on the Tezos ecosystem. Tezos are feeling that DeFi as a whole is making a lot of sense in the blockchain network. 

There are several financial applications which are existing in the traditional world today.  These apps are used to move monetary value seamlessly in the form of cash, stocks, bonds to make possible for transactions like lending, options, insurance, etc. There is a similar need in the blockchain space. Thus there is a widespread need for Dapps which make value transfer possible for assets in the network or within networks.

Therefore, the current developments happening across the Tezos ecosystem with reference to DeFi are beginning to fill in a larger image, which is kind of an unofficial roadmap.

DeFi Building blocks from Luke Youngblood and Keefer Taylor of Hover Labs conveys the need of Proof of Stake Consensus Layer and Smart Contract Languages (s), Decentralized Exchanges, Token Standards, Wrapped Assets, Cross Chain-swaps, On-chain Price Oracles, Stable Coins and Synthetic assets, Lending Platforms, Options, and Insurance etc.

When helping an average viewer to look at the structure, it has been stated, “The simplest way to view the above is to look at the modern highway system. For a protocol coin such as Tezos, the various types of assets built on top of it will provide a form of transport within the network like cars and freight on a highway.”

Making things all the more simple, it has been stated, what is going to become apparent is upon the introduction of more of DeFi protocols, that highway will begin to consist of more vehicles which will be moving within it and therefore leads to more traffic, and therefore more activity levels in the DeFi Ecosystem due to the ease of transfer of assets.

Also, Quipuswap is the first DEX on Tezos with on-chain governance for baking rewards.