Independent developer and consultant Udi Wertheimer believes it’s only a matter of time before DeFi projects move off of Ethereum and onto centralized platforms.
Wertheimer, who was featured as a guest on the Funky Crypto Podcast with retired MMA fighter Ben Askren and Litecoin Foundation Chief Evangelist John Kim, discussed the recent downturn in the crypto markets. He pointed to DeFi, describing the ethers locked in vaults that are extremely levered and how they explain why the bottom fell out in the ETH price in recent days.
In addition to being a software developer, Wertheimer is also a self-proclaimed Ethereum basher. He bemoaned the platform for its slow transaction speeds, lofty fees and the complicated MetaMask, but he had nothing but good things to say about co-founders Vitalik Buterin and Joe Lubin. Wertheimer suggested that DeFi doesn’t need Ethereum, saying,
In my opinion, this whole DeFi thing, it stands for decentralized finance. And actually, there’s nothing really decentralized about it because there’s always someone who controls those projects. As we saw now with the SUSHI thing…They launched a token but they actual project hardly even exists. So obviously it’s not decentralized…All of these projects have someone who is in control.
He also used the example of yearn.finance (YFI), whose price skyrocketed from zero to more than $30,000 before losing one-third of its value since the peak. Wertheimer said the project is interesting but pointed out that it’s also controlled by someone — Andre Cronje. On the podcast, Wertheimer predicted that DeFi won’t be on the Ethereum network for long.