[GUEST ACCESS MODE: Data is scrambled or limited to provide examples. Make requests using your API key to unlock full data. Check https://lunarcrush.ai/auth for authentication information.]

![cryptorinweb3 Avatar](https://lunarcrush.com/gi/w:24/cr:twitter::1409387396886675457.png) Cryptor ⚡️ [@cryptorinweb3](/creator/twitter/cryptorinweb3) on x 5545 followers
Created: 2025-06-19 12:42:11 UTC

From Celsius Clawbacks to a $120B DeFi Opportunity
(That’s a potential 1000x from today’s $134M base)
⸻

I used to be a CeFi user.
Celsius. BlockFi. Voyager.

Damn, I was a spreadsheet warrior.
Tracking yields, diversifying exposure, farming that sweet 8–10% passive income. 
Felt like free money.
Already telling my boss “watch your mouth” when he asked why I was X minutes late.
Degen stuff.

I trusted the pitch: “Your crypto, earning yield. Safely.”
But that trust nearly wrecked me.

I was watching Celsius closely. Something felt off.
Mashinsky was still preaching “Unbank Yourself” while the ship was sinking.
I even tracked Celsius' onchain transactions myself.

On day XX before bankruptcy, I withdrew my funds. Just barely in time.
Then the bankruptcy announcement dropped... and I was like: 
“Yeah, I’m such a boss.”

But then came the real gut punch:
A clawback letter from a New York attorney, demanding I repay everything withdrawn in the 90-day window.
XXL envelope. Legal jargon. Full panic mode.

My wife opened it and said:
“WTF is this? Does this have to do with your internet coins? Do we need to move to a smaller house?”

That’s when I swore: 
“Never again. This is the risk of uncollateralised lending.”

But later I thought: Why can TradFi lend trillions without collateral, but DeFi can’t?

I mean… credit cards exist.
Banks hand out personal loans like candy in a bull run.
You can walk in with debt and a smile and walk out with a new car.

So why does DeFi still demand XXX% collateral just to borrow your own money?

After reading the @dl_research report by @stan3web on uncollateralised lending, I’ve changed my view.

The problem wasn’t the lending model.
It was how CeFi handled it:
Opaque. Centralized. Mismanaged.
No transparency. No risk controls. No accountability.

This sector isn’t dead. It’s evolving. And it’s massively overlooked.

I mean, look at the numbers:
🔹DeFi has $19.8B in collateralised DeFi loans (@aave, @compoundfinance, @MorphoLabs)
🔹But only $134M in uncollateralised loans split across @WildcatFi, @ClearpoolFin and @TrueFiDAO 
🔹And TradFi? XX% of credit is unsecured = no collateral

Imagine if DeFi captures just:
→ XX% of its own collateralised market = $1.8B (> 10x from today)
→ X% of TradFi’s unsecured market = $120B+ TAM (a 1000x)

That last number is not a prediction. 
It’s a theoretical TAM - what DeFi could unlock by solving credit scoring, enforcement, and identity like TradFi.

And this time, it’s being rebuilt with full transparency onchain, with smarter risk controls.

So who’s leading the rebuild?

🔷@WildcatFi – Institutional vault-based lending

→ Borrowers (like Wintermute, Selini, Hyperithm) create isolated onchain credit vaults
→ Lenders pick who to fund. No pooled risk
→ Smart contract “hooks” enforce terms like access, cooldowns, reserves
→ Already $103M in active loans, around XX% of the uncollateralised DeFi market

🔷@3janexyz – Privacy-preserving DeFi credit (in dev)

→ Combines wallet history with offchain financial data
→ Uses zkTLS, @CredProtocol, @reclaimprotocol
→ Credit checks without docs
→ Building onchain debt recovery auctions

🔷@clearpoolfin – Institutional DeFi credit

→ Unsecured lending to whitelisted institutions
→ Single-borrower pools
→ ~$23M in loans live

🔷@TrueFiDAO – One of the OGs

→ Loans to KYC’d institutions
→ ~$8M loans active today

Each protocol addresses a different challenge:
Credit scoring. Enforcement. Structure. Transparency.

Together, they're turning uncollateralised DeFi from a disaster zone into a functional market, backed by smart contracts instead of promises.

I thought I’d never touch this sector again.

But now I’m asking:

Is this DeFi’s second chance at credit done right? 
And is the next 100x hiding in plain sight while everyone's still traumatized from 2022?

Either way... I’m watching 👀

![](https://pbs.twimg.com/media/GtzqPqbXwAAB74z.jpg)

XXXXX engagements

![Engagements Line Chart](https://lunarcrush.com/gi/w:600/p:tweet::1935679505604960441/c:line.svg)

**Related Topics**
[money](/topic/money)
[damn](/topic/damn)
[$134m](/topic/$134m)
[$120b](/topic/$120b)

[Post Link](https://x.com/cryptorinweb3/status/1935679505604960441)