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Finance Headed Toward Bank-Free, Decentralized Future: Bernstein
Bank-free decentralized finance will be a trillion-dollar asset pool with over $40 billion in revenue by 2028, a report from the firm said.
By Will Canny
Updated Apr 9, 2024, 11:30 p.m. Published Mar 10, 2023, 10:54 a.m.
The future of finance will be bank-free, Bernstein said in a research report Friday. Banks will still exist, but in the background as “custodians of old wealth.”
“New wealth creation and financial-services innovation will move to a new financial app universe on the Ethereum ecosystem,” analysts Gautam Chhugani and Manas Agrawal wrote.
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A revival of decentralized finance (DeFi) is in the works, one that is “far more sustainable, scalable, transparent and with improving token economics,” the report said. DeFi is an umbrella term for a variety of financial applications carried out on a blockchain.
Bernstein estimates that by 2028, bank-free DeFi will have revenue of $40 billion and total assets will grow to $1 trillion from about $65 billion now. It forecasts $5 trillion in assets over the next decade due to rapid adoption.
The next generation of DeFi will be built on a layer 2 network that is scalable with 95% lower transaction costs and products that generate real revenue and sustainable yields rather than being driven by token incentives, the note said.
Layer 2 refers to separate blockchains built on top of layer 1 chains that reduce bottlenecks with scaling and data. Layer 1 is the base layer or the underlying infrastructure of a blockchain.
Read more: Bank of America: Innovation to Expand Decentralized Finance Functionality Over Time
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KuCoin captured a record share of centralised exchange volume in 2025, with more than $1.25tn traded as its volumes grew faster than the wider crypto market.
Ano ang dapat malaman:
- KuCoin recorded over $1.25 trillion in total trading volume in 2025, equivalent to an average of roughly $114 billion per month, marking its strongest year on record.
- This performance translated into an all-time high share of centralised exchange volume, as KuCoin’s activity expanded faster than aggregate CEX volumes, which slowed during periods of lower market volatility.
- Spot and derivatives volumes were evenly split, each exceeding $500 billion for the year, signalling broad-based usage rather than reliance on a single product line.
- Altcoins accounted for the majority of trading activity, reinforcing KuCoin’s role as a primary liquidity venue beyond BTC and ETH at a time when majors saw more muted turnover.
- Even as overall crypto volumes softened mid-year, KuCoin maintained elevated baseline activity, indicating structurally higher user engagement rather than short-lived volume spikes.
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Tom Lee urges BitMine shareholders to approve share increase ahead of January 14 vote
The chairman of the former bitcoin miner-turned-ether treasury firm reiterated his view that Ethereum is the future of finance.
Ano ang dapat malaman:
- Tom Lee, chairman of Bitmine Immersion (BMNR), urged shareholders to approve an increase in the company's authorized share count from 500 million to 50 billion.
- Lee assured shareholders that the increase is not intended to dilute shares, but instead to enable capital raising, dealmaking, and future share splits.
- Shareholders have until January 14 to vote on the proposal, with the annual meeting scheduled for January 15 in Las Vegas.
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