2025 DeFi Lending & Leveraged Trading: Growth, Risks, and Regulation

For 2025, di crypto market show strong growth for DeFi lending plus leveraged trading. DeFi lending TVL for platforms like Aave pass $4 billion, meaning demand plenty gidigba. But some platforms get liquidity worries, make borrowing rates dey unstable, meaning liquidity risk dey. Leveraged trading volume pass 30% of total exchange volume, some platforms allow up to 20× leverage. High leverage fit mean bigger returns but still increase liquidation risk when market dey volatile. Crypto regulations dey develop as US SEC classify some crypto assets as securities, force platforms to register to increase transparency but e add more compliance wahala. Global regulatory position still mixed, so traders must dey watch policy changes closely. Overall, 2025 DeFi lending growth and active leveraged trading dey drive market moves, but liquidity and regulatory uncertainty need disciplined risk management.