Consensus Miami: Institutional investors still keep their distance from perpetual DEXs, with security risks and KYC compliance being the main obstacles

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Deep Tide TechFlow News, May 8th, according to CoinDesk reports, at the “Perpetual DEX Explosion: Bullish Trading Volume and Bear Market Resilience” themed forum, several industry insiders stated that institutional investors are still largely avoiding providing perpetual contract trading on decentralized exchanges (Perp DEX). Senior trader Wizard of SoHo pointed out that the Drift platform recently suffered a multi-million dollar hacker attack, highlighting security risks in the DeFi ecosystem, and whether institutional funds can be safely introduced will become the core competitive focus for major Perp DEXs. Anderson from Canary Labs expressed concerns about the current security status of DeFi, believing that large institutions face much higher difficulty in adopting decentralized exchanges compared to centralized platforms.

Additionally, the structural contradiction between DeFi’s permissionless open design and the strict KYC compliance requirements of institutions is also considered a key obstacle to large-scale implementation. Michaël van de Poppe, founder of MN Fund, commented on AI trading tools, believing that AI agents are essentially an evolutionary extension of algorithmic trading, and future trading will tend toward full automation.

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