The great hype around the decentralized finance sector started in 2020. Many platforms such as Uniswap or Sushi Swap have profited massively from the trend and have won millions of customers in a short period of time. The idea behind this is that the trading exchanges are not controlled by a central authority, as is the case with Binance, but that the exchange is designed as a decentralized exchange platform.
In this respect, the platforms actually pick up on the original idea of Bitcoin. Because the whitepaper by Satoshi Nakamoto designed Bitcoin as an alternative to traditional financial systems with central actors such as private banks and state central banks.
Trading exchanges such as Binance, Kraken or Coinbase offer their customers the purchase of Bitcoin and trading in thousands of other crypto currencies, but they contradict the Bitcoin idea in that they are actually similarly centrally aligned as the much-criticized banks. The only difference is that the assets are not primarily dollars, gold or stocks, but crypto currencies.
According to the DeFi Pulse website, there are currently nearly $ 83.5 billion in assets on decentralized platforms. This means that the numbers are almost in the range of the all-time high from May 2021. Many of the decentralized platforms are now offering their own tokens, which have seen massive price increases in the course of the DeFi hype.
The following overview shows three of the most exciting DeFi tokens and analyzes which of the tokens could now be worth buying.
UNI: Price targets between $ 70 and $ 166
The Uniswap platform’s own governance token, named UNI, was launched on the market in September 2020. Thus, the coin started punctually for the new bull run of the Bitcoin. The early Uniswap users were given 400 UNI tokens. If you look at the current market price of UNI / USD, a very generous gift. With a price of $ 27.65 at the time of publication, the 400 tokens are now worth more than $ 10,000.
However, UNI / USD is currently still trading well below the all-time high from May 2021. At that time, the coin reached a level of just under 45 dollars. However, the price is currently around 38 percent below this. With a market capitalization of around 17 billion dollars, UNI currently ranks 11th among the most valuable cryptocurrencies in the world.
Coin Price Forecast analysts estimate that Uniswap could hit the all-time high again in 2022. In the medium to long term, they consider even higher prices to be possible. A UNI / USD rate of more than $ 60 is expected for 2023. After that, however, the price increases are moderate. The experts estimate that the price will stagnate in the price region of 70 dollars for the next few years.
Wallet Investor’s forecast is much more bullish. According to this, UNI / USD could double its current rate by next year and even triple it by 2023. In perspective, Wallet Investor also considers the purchase of UNI to be a good long-term investment. The 5-year forecast is a price target of more than $ 166. That would be a rate of increase of around 500 percent over the current rate.
Aave: 500 percent growth by 2026?
Aave is also one of the well-known decentralized financial protocols that enable users to borrow or lend cryptocurrencies. Lenders receive interest when they deposit the digital assets in so-called liquidity pools. Borrowers can then use these pools to borrow with this liquidity.
Aave was originally known as ETHLend. However, since the rebranding, Aave has had a strong track record and in this bull cycle the Aave token has seen massive price increases.
With a market capitalization of more than $ 4.8 billion, the token is currently ranked 30th among the most valuable cryptocurrencies. The token price is trading at around $ 368 at the time of publication. In November 2020, however, the purchase of Aaave was still possible for less than $ 30 per token. Thus, the price has increased more than twelve-fold in less than a year.
However, the strong correction in May 2021 did not leave Aave unaffected. From a record price of almost $ 670, the coin temporarily fell to lows of less than $ 200. Aave is still trading almost 50 percent below its all-time high.
But it may be a good time to get started in order to get Aaave now relatively cheaply. Because according to the analysis of Coin Price Forecast, the price should rise again soon. Aave should therefore reach a new record price of more than $ 700 by 2023 at the latest. According to the forecast, the $ 1,000 mark per token could fall by the end of 2024 / beginning of 2025. In the long term, Coin Price Forecast even believes prices in the range of $ 2,000 for Aave are possible.
The assessment is similarly bullish as that of the market experts at Wallet Investor. The analysts estimate that Aave / USD can push back into the spheres above 600 dollars in 2022. By 2023, prices are even expected to rise by almost 200 percent compared to the current level. Wallet Investor has already set the price target for 2026 at a remarkable $ 2,150. This would be a growth rate of almost 500 percent compared to the current level.
Yearn.Finance: $ 150,000 target price
The Yearn.Finance project has been causing a sensation since 2020. The YFI token was trading at less than $ 1,000 in July 2020 and was able to experience an incredible price rally in the weeks that followed. YFI / USD already reached a unit price of more than 40,000 dollars in September 2020 and was therefore more expensive than Bitcoin in terms of token value. However, it should be noted that the amount in circulation is very limited at 36,666 YFI. The high price was mainly due to the limited supply.
In May 2021, the altcoin even rose to record levels of more than 90,000 dollars, just barely past the magic number of 100,000 dollars per token. However, since then, YFI / USD has seen a sharp correction. The price plummeted in May and fell to lows of less than $ 27,000. YFI has since recovered to $ 37,000, but is still 60 percent below its all-time high.
In terms of its market capitalization, however, YFI is currently not one of the top tokens on the crypto market. After a temporary placement in the top 20, YFI has dropped to 80th place.
In its forecast, however, Coin Price Forecast is certain that the purchase of YFI is now worthwhile and that the coin will exceed the $ 100,000 mark. According to the analysts, it will not be ready until 2027. In the long term, the price target is around $ 150,000.
Wallet Investor’s assessment is similarly bullish. However, the market observers assume that YFI will advance into the six-digit region earlier. Already for 2026 they are giving a price target of around 150,000 dollars.