Yei Finance’s Pause Highlights DeFi’s Fragile Interdependence

The sudden halt of Yei Finance on the Sei network exposed DeFi’s vulnerability to dependencies and underscored the need for greater resilience. While this incident showcased a high-speed financial ecosystem, it also highlighted the importance of transparency and proactive action in navigating real-time crises within DeFi. 2025 saw a surge in DeFi TVL as institutional investments flowed into protocols like Sei, but this growth brought with it interdependencies between protocols, highlighting the need for greater stability. The story of Yei Finance serves as a stark reminder that resilience is not just about speed, but also about transparency and foresight.