DeFAI: Opening a New Era of Decentralized Finance

Decentralized Finance (DeFi) has long been regarded as a key driver for the widespread adoption of cryptocurrency, yet its actual penetration rate lags far behind expectations. According to the latest survey, approximately 562 million people globally own cryptocurrency, accounting for 6.9% of the total population. However, the user penetration rate of DeFi is only 1.4%, a figure that highlights the challenges DeFi faces in attracting new users.

Nevertheless, DeFi has shown significant growth in trading volume share, with the trading volume of decentralized exchanges (DEX) reaching 16.7% of centralized exchanges (CEX), setting a historic high. This phenomenon reflects that the DeFi market is mainly dominated by large-cap old users, and its appeal to new users remains insufficient.

The main reason why DeFi struggles to attract new users is its high knowledge threshold and poor user experience. Even the most basic token exchange operations require users to understand how to transfer tokens onto the chain, reserve enough gas fees, grasp the concept of slippage, and go through complex steps like authorization. The complexity of these operations far exceeds the simple one-click buy and sell functions of centralized exchanges.

In the face of this predicament, the introduction of Artificial Intelligence (AI) brings new hope to Decentralized Finance (DeFi), giving rise to the innovative concept of DeFAI (DeFi + AI). DeFAI aims to reduce the complexity of DeFi through AI technology, making decentralized financial services more accessible to ordinary users, thereby promoting its widespread adoption.

The core value of DeFAI is mainly reflected in three aspects:

1. Lower the operational threshold: Users can complete complex DeFi operations through natural language commands without the need to manually switch between various interfaces.

2. Automated Strategies: AI agents can execute and adjust complex arbitrage and investment strategies, allowing ordinary investors to enjoy professional-level quantitative tools.

3. Data Integration and Analysis: AI can monitor and analyze multiple data sources in real time, including community sentiment, influencer comments, on-chain transaction data, and price trends, providing users with more comprehensive market insights.

Currently, the DeFAI project is mainly divided into three categories:

1. AI Abstraction Layer: This type of project simplifies complex DeFi operations into natural language instructions, allowing AI agents to automatically perform optimal path selection and resource optimization.

2. Automated Trading Agents: With user authorization, these AI agents can automatically execute complex multi-step trading strategies, greatly simplifying the user's operational process.

3. Market Analysis Agents: This type of AI focuses on aggregating and analyzing large amounts of on-chain data, social media information, and market trends to provide users with real-time market insights.

With the continuous breakthroughs in AI technology in dialogue interfaces, strategy automation, and data integration, DeFAI is paving a new development path for Decentralized Finance. From simple natural language trading instructions to advanced automated arbitrage strategies, and to multi-agent collaborative ecosystems, DeFAI is gradually maturing and expanding.

This innovation may lead the next wave of "DeFi summer," allowing more users to enjoy the potential benefits of Decentralized Finance with a lower entry threshold. At the same time, professional investors can use these tools to implement more flexible and secure trading strategies. With the deep integration of blockchain and AI technologies, the development trend of DeFAI is worth our continuous attention and anticipation.