Vampirism

In Decentralized Finance (DeFi) there are many platforms and protocols competing for users and staked capital. One result of this intense competition is what is referred to as “Vampirism”. Vampirism, in the context of DeFi smart contracts is when a near exact clone or replica of a DeFi platform is created with the new clone offering a higher rate of return or a larger direct incentive. This resulted in staked liquidity leaving the original DeFi platform and moving to the newer higher, yielding platform. Defi Vampirism is not illegal and does not represent any type of flaw in DeFi. These protocols and platforms are still very new, and the intense competition between them leads to rapid innovation and an ever-changing landscape of players in DeFi.