DeFi and the Future of Finance: Predictions and Trends for 2023

Karolina

25 May 2023
DeFi and the Future of Finance: Predictions and Trends for 2023

Decentralized Finance, commonly known as DeFi, is transforming the financial landscape in unprecedented ways. By eliminating intermediaries and harnessing the power of blockchain technology, DeFi offers a revolutionary approach to conducting financial transactions. From lending and borrowing to insurance and asset management, DeFi platforms are democratizing access to financial services and fostering a new era of financial inclusion. As we venture further into 2023, it becomes increasingly clear that DeFi is not merely a transient trend, but a critical component of the future of finance.

The Evolution of DeFi

The inception of DeFi can be traced back to the advent of Bitcoin, the world's first decentralized cryptocurrency. Bitcoin demonstrated the potential of a decentralized financial system, laying the groundwork for the DeFi movement. Since then, DeFi has evolved tremendously, fueled by the advent of Ethereum and its smart contract capabilities, which opened up a multitude of possibilities for decentralized applications (dApps). Over the years, numerous DeFi platforms have emerged, each offering unique solutions to traditional financial challenges. As of 2023, DeFi has reached unprecedented levels of growth and adoption, establishing its place at the forefront of financial innovation.

DeFi Explained

As we navigate through 2023, DeFi continues to make waves in the financial ecosystem. Several key trends have emerged that signal the trajectory of this disruptive technology. These trends range from increased adoption and integration, regulatory developments, innovative technology breakthroughs, to influences from the cryptocurrency market.

Key trends

A. Increased Adoption and Integration

One of the most significant trends in 2023 is the increased adoption of DeFi by traditional financial institutions. Banks, insurance companies, and other financial service providers are increasingly recognizing the value of DeFi. By leveraging DeFi protocols, these institutions can offer their customers more efficient, cost-effective services. We're also witnessing the integration of DeFi applications into everyday financial transactions. For instance, decentralized exchanges (DEXs) are becoming popular platforms for trading digital assets, while lending and borrowing platforms are providing viable alternatives to traditional loans.

B. Regulatory Developments

As DeFi becomes more prevalent, it's inevitably attracting the attention of regulatory bodies. In 2023, we're seeing a surge in regulatory developments aimed at DeFi. While these regulations pose new challenges, they also provide a degree of legal certainty that can potentially foster increased institutional participation. Some jurisdictions have introduced licensing requirements for DeFi platforms, while others are developing frameworks for the taxation of DeFi transactions. As this regulatory landscape continues to evolve, it will undoubtedly shape the future trajectory of DeFi.

Are you interested in the legal aspects in blockchain? Check out our article on dao legal structures.

C. Innovations in DeFi Technology

This year, we're also seeing exciting innovations in DeFi technology. Blockchain and AI technologies are at the forefront of these innovations. For instance, Layer 2 solutions are being increasingly used to enhance the scalability and efficiency of DeFi platforms. AI, on the other hand, is being utilized to improve risk assessment models and automate decision-making processes in DeFi platforms.

D. Cryptocurrency and DeFi

The world of cryptocurrencies and DeFi are intrinsically linked. In 2023, the trends in the cryptocurrency market are having a significant impact on DeFi. The rise of non-fungible tokens (NFTs) and the growing interest in decentralized autonomous organizations (DAOs) are influencing the types of services offered by DeFi platforms. Moreover, the increasing popularity of stablecoins is bolstering the use of DeFi, providing a less volatile option for transactions.

In summary, DeFi is experiencing a dynamic evolution in 2023, shaped by a multitude of factors ranging from adoption and regulatory changes to technological innovations and cryptocurrency trends.

Predictions for DeFi and the Future of Finance

As we look towards DeFi and the future of finance beyond 2023, several key predictions can be made based on current trends and developments:

  • Market Growth: The DeFi market is expected to experience substantial growth. As more institutions adopt DeFi protocols and technologies, and as regulatory frameworks become more defined, we can anticipate an increase in the overall market capitalization of DeFi.
  • Technological Advancements: We expect to see continual technological advancements in the DeFi sector. Innovations will likely focus on improving scalability, efficiency, and security of DeFi platforms. The use of AI in DeFi could also become more prevalent, enhancing functionalities such as automated trading and risk assessment.
  • Greater Integration with Traditional Finance: DeFi is predicted to become more deeply integrated into the traditional financial system. This could mean more partnerships between traditional banks and DeFi platforms, and an increase in DeFi services offered by mainstream financial institutions.
  • Broader Adoption of DeFi Services: With increasing awareness and understanding of DeFi, more individuals and businesses are expected to use DeFi services for lending, borrowing, insurance, asset management, and more.
  • Emergence of New DeFi Platforms and Services: As the DeFi space matures, we predict the emergence of new platforms and services. This could include new types of decentralized exchanges, lending platforms, and innovative DeFi applications we have yet to envision.
  • Regulatory Evolution: As DeFi grows, so will the attention it receives from regulatory bodies. It's likely we'll see further evolution in DeFi-related regulations, which will shape the development and operation of DeFi platforms.

Conclusion

As we navigate through 2023, DeFi continues to shape the future of finance in profound ways. Its transformative influence extends from traditional financial institutions to everyday financial transactions, driven by innovative technologies and the dynamic cryptocurrency market. While there are challenges to overcome, including regulatory developments and technical hurdles, the potential for a more accessible and efficient financial system is undeniable.

The future is promising as we anticipate further growth, technological advancements, and broader adoption of DeFi services. As we continue exploring this exciting frontier, stay tuned for more insights and updates on the ever-evolving world of DeFi.

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Master UI Component Creation with AI: The Ultimate Guide for Developers

Gracjan Prusik

24 Mar 2025
Master UI Component Creation with AI: The Ultimate Guide for Developers

Introduction

Modern frontend development is evolving rapidly, and creating UI components with AI tools is helping developers save time while enhancing interface quality. With AI, we can not only speed up the creation of UI components but also improve their quality, optimize styles, and ensure better accessibility.

This article explores how creating UI components with AI is transforming frontend development by saving time and improving workflows. Specifically, we will discuss:

  • Generating components from images,
  • AI for style analysis and optimization,
  • Automatic style conversion and code migration,
  • AI in generating UI animations.

Creating UI Components with AI from Images

One of the interesting applications of AI in frontend development is the ability to generate components from an image. AI can recognize the structure of the interface and generate HTML/CSS or JSX code that matches the provided image. One of the most popular tools for UI creation is Lovable.

For testing, let's see how the tool performs in creating a simple contact form from the page you are currently on, which is Nextrope.

Query:

"Recreate the image I've sent you in Next.js using CSS."

Sample image used in the query:

The result received:

Tworzenie komponentów UI - Wygenerowany widok

Lovable did an excellent job transforming the image into code. The view is fully responsive. It’s important to remember that the more precise the request, the better the AI will replicate the expected view. However, even with a simple command, the tool performed surprisingly well.

Of course, AI has its limitations. It still makes quite a few mistakes. The generated code still requires review and fixes from the developer, but in some cases, the entire process is significantly sped up—correcting the code often takes less time than creating the component from scratch.

Optimizing UI Components with AI Tools for Style Improvements

This problem of inaccurate code reproduction by AI can be partially addressed by using it to analyze and improve styles. Tools like ChatGPT, DeepSeek and Claude are capable of not only generating code but also diagnosing CSS errors and suggesting why a particular style might not be working as expected.

Simple example: Why is the div not centered?

Query: "Why is this div not centered?"

AI analyzes the code and provides the following response:

Problem: The parent container does not have a defined width or display: flex.
Solution: Add the appropriate styles to the parent container.

.parent {
  display: flex;
  justify-content: center;
  align-items: center;
  width: 100vw;
  height: 100vh;
}

AI for Automatic Style Conversion and Code Migration in UI Components

AI can assist with style conversion between different technologies, such as transferring code from traditional CSS to Styled Components or Tailwind CSS.

Let's assume we have a style written in traditional CSS:

.button {
  background-color: blue;
  color: white;
  padding: 10px 20px;
  border-radius: 5px;
  transition: background-color 0.3s ease;
}

.button:hover {
  background-color: darkblue;
}

We can use AI for automatic conversion to Styled Components:

import styled from "styled-components";

const Button = styled.button`
  background-color: blue;
  color: white;
  padding: 10px 20px;
  border-radius: 5px;
  transition: background-color 0.3s ease;

  &:hover {
    background-color: darkblue;
  }
`;

export default Button;

AI can also assist in migrating code between frameworks, such as from React to Vue or from CSS to Tailwind.

This makes style migration easier and faster.

How AI Enhances UI Animation Creation

Animations are crucial for enhancing user experience in interfaces, but they are not always provided in the project specification. In such cases, developers have to come up with how the animations should look, which can be time-consuming and require significant creativity. AI, in this context, becomes helpful because it can automatically generate CSS animations or animations using libraries like Framer Motion, saving both time and effort.

Example: Automatically Generated Button Animation

Suppose we need to add a subtle scaling animation to a button but don't have a ready-made animation design. Instead of creating it from scratch, AI can generate the code that meets our needs.

Code generated by AI:

import { motion } from "framer-motion";

const AnimatedButton = () => (
  <motion.button
    whileHover={{ scale: 1.1 }}
    whileTap={{ scale: 0.9 }}
    className="bg-blue-500 text-white px-4 py-2 rounded-lg"
  >
    Press me
  </motion.button>
);

In this way, AI accelerates the animation creation process, providing developers with a simple and quick option to achieve the desired effect without the need to manually design animations from scratch.

Summary

AI significantly accelerates the creation of UI components. We can generate ready-made components from images, optimize styles, transform code between technologies, and create animations in just a few seconds. Tools like ChatGPT, DeepSeek, Claude and Lovable are a huge help for frontend developers, enabling faster and more efficient work.

In the next part of the series, we will take a look at:

If you want to learn more about how AI is impacting the entire automation of frontend processes and changing the role of developers, check out our blog article: AI in Frontend Automation – How It's Changing the Developer's Job?

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AI in Real Estate: How Does It Support the Housing Market?

Miłosz Mach

18 Mar 2025
AI in Real Estate: How Does It Support the Housing Market?

The digital transformation is reshaping numerous sectors of the economy, and real estate is no exception. By 2025, AI will no longer be a mere gadget but a powerful tool that facilitates customer interactions, streamlines decision-making processes, and optimizes sales operations. Simultaneously, blockchain technology ensures security, transparency, and scalability in transactions. With this article, we launch a series of publications exploring AI in business, focusing today on the application of artificial intelligence within the real estate industry.

AI vs. Tradition: Key Implementations of AI in Real Estate

Designing, selling, and managing properties—traditional methods are increasingly giving way to data-driven decision-making.

Breakthroughs in Customer Service

AI-powered chatbots and virtual assistants are revolutionizing how companies interact with their customers. These tools handle hundreds of inquiries simultaneously, personalize offers, and guide clients through the purchasing process. Implementing AI agents can lead to higher-quality leads for developers and automate responses to most standard customer queries. However, technical challenges in deploying such systems include:

  • Integration with existing real estate databases: Chatbots must have access to up-to-date listings, prices, and availability.
  • Personalization of communication: Systems must adapt their interactions to individual customer needs.
  • Management of industry-specific knowledge: Chatbots require specialized expertise about local real estate markets.

Advanced Data Analysis

Cognitive AI systems utilize deep learning to analyze complex relationships within the real estate market, such as macroeconomic trends, local zoning plans, and user behavior on social media platforms. Deploying such solutions necessitates:

  • Collecting high-quality historical data.
  • Building infrastructure for real-time data processing.
  • Developing appropriate machine learning models.
  • Continuously monitoring and updating models based on new data.

Intelligent Design

Generative artificial intelligence is revolutionizing architectural design. These advanced algorithms can produce dozens of building design variants that account for site constraints, legal requirements, energy efficiency considerations, and aesthetic preferences.

Optimizing Building Energy Efficiency

Smart building management systems (BMS) leverage AI to optimize energy consumption while maintaining resident comfort. Reinforcement learning algorithms analyze data from temperature, humidity, and air quality sensors to adjust heating, cooling, and ventilation parameters effectively.

Integration of AI with Blockchain in Real Estate

The convergence of AI with blockchain technology opens up new possibilities for the real estate sector. Blockchain is a distributed database where information is stored in immutable "blocks." It ensures transaction security and data transparency while AI analyzes these data points to derive actionable insights. In practice, this means that ownership histories, all transactions, and property modifications are recorded in an unalterable format, with AI aiding in interpreting these records and informing decision-making processes.

AI has the potential to bring significant value to the real estate sector—estimated between $110 billion and $180 billion by experts at McKinsey & Company.

Key development directions over the coming years include:

  • Autonomous negotiation systems: AI agents equipped with game theory strategies capable of conducting complex negotiations.
  • AI in urban planning: Algorithms designed to plan city development and optimize spatial allocation.
  • Property tokenization: Leveraging blockchain technology to divide properties into digital tokens that enable fractional investment opportunities.

Conclusion

For companies today, the question is no longer "if" but "how" to implement AI to maximize benefits and enhance competitiveness. A strategic approach begins with identifying specific business challenges followed by selecting appropriate technologies.

What values could AI potentially bring to your organization?
  • Reduction of operational costs through automation
  • Enhanced customer experience and shorter transaction times
  • Increased accuracy in forecasts and valuations, minimizing business risks
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Want to implement AI in your real estate business?

Nextrope specializes in implementing AI and blockchain solutions tailored to specific business needs. Our expertise allows us to:

  • Create intelligent chatbots that serve customers 24/7
  • Implement analytical systems for property valuation
  • Build secure blockchain solutions for real estate transactions
Schedule a free consultation

Or check out other articles from the "AI in Business" series