I've noticed that recently, quite a few DeFi projects have simply disappeared from the market. Not just one or two, but over 10 protocols have shut down their operations. This is actually remarkable and says a lot about the current state of the sector.

Let's take Angle as an example. The project still had a TVL of $250 million, yet it announced the gradual shutdown of its stablecoins EURA and USDA. This shows that even a significant size doesn't automatically guarantee survival. The reasons Angle cited were fundamental: the market for decentralized stablecoins has simply changed too much.

Polynomial is another interesting example. The project had achieved a cumulative trading volume of $4 billion but ultimately failed due to liquidity issues in the derivatives market. Here, we see a classic pattern: volume alone is not enough. MilkyWay tried multiple times to adapt to new market trends but was never able to find a true product-market fit.

What strikes me about this is the overarching problem: many of these DeFi coins and protocols are losing touch with the reality of the market. They cannot react flexibly enough when conditions change. Liquidity appears to be the most critical factor, and those who cannot maintain it have no long-term chance. The wave of closures illustrates that in the DeFi sector, it's not just about innovative technology, but about the fundamental ability to adapt to a constantly changing environment.