Due to a lack of demand and regulatory difficulties, Yield Protocol, a Decentralised Finance (DeFi) lending project, will be finished by the end of this year.
According to a statement made on Wednesday, the protocol’s borrowing and lending will stop after the project’s December 2023 series matures on December 29.
Since there isn’t a sustainable demand for fixed-rate borrowing on Yield Protocol for now, we felt that this decision was necessary, according to Yield. In addition, “the current regulatory environment in the U.S. combined with increasing regulatory requirements in Europe and the U.K. make it challenging for us to continue to support the Yield Protocol.”
Yield Protocol had almost $22 million in total value locked at its height in April 2022, but this amount has since dropped to just over $2 million.