
Decentralized Finance (DeFi) continues to make waves in the cryptocurrency world, and Bitcoin is no exception. Following the Bitcoin halving in 2024, the integration of DeFi with various cryptocurrencies has become increasingly relevant. This article explores the top crypto DeFi projects and the challenges they face.
Crypto DeFi refers to the application of decentralized finance principles to various cryptocurrency ecosystems. While traditionally Bitcoin has been seen primarily as a store of value, recent developments have expanded the capabilities of multiple cryptocurrencies in the DeFi space.
The Taproot upgrade for Bitcoin in November 2021 was a significant milestone, enabling more complex smart contract functionalities on the Bitcoin network. This has paved the way for native DeFi applications within various crypto ecosystems, moving beyond the previous reliance on wrapped tokens on other networks.
Despite the promising developments, Crypto DeFi faces several challenges:
Recent innovations like BRC-20 tokens and Ordinals are driving exciting developments in various crypto ecosystems. These technologies are making cryptocurrencies more accessible and fostering creativity in DeFi and NFTs. The BRC-20 token standard, in particular, is improving interoperability between different blockchains, opening up new possibilities for cross-chain applications.
The role of various cryptocurrencies in DeFi is evolving rapidly, with numerous projects working to unlock their potential beyond being merely stores of value. While challenges such as scalability and regulatory compliance remain, innovations like layer 2 solutions and new token standards are addressing these issues. The crypto community has much to look forward to in the DeFi space, with these nine projects leading the way in expanding the capabilities and use cases of various cryptocurrencies.
DeFi projects in crypto are decentralized financial applications built on blockchain networks. They offer various financial services like lending, borrowing, trading, and yield farming without traditional intermediaries, aiming to provide open, transparent, and accessible financial solutions.
The best DeFi project is subjective, but Ethereum remains a top choice due to its robust ecosystem, high TVL, and continuous innovation in DeFi protocols and applications.
As of 2025, Ethereum (ETH) remains the largest DeFi cryptocurrency by market cap and total value locked (TVL). It continues to dominate the DeFi ecosystem with its smart contract capabilities and extensive network of decentralized applications.











