Our current data infrastructure threatens Defi’s future

Opinion by: Maxim legg, founder and CEO of Pangea
The blockchain industry faces a crisis of its own labor. As we celebrate transactions speeds on theoretical and tout decentralization, our data infrastructure remains firmly rooted in the 1970s technology. If a 20-second load time will motivate a web2 app, why are we adjusting for the web3?
In 53% of users who abandon websites after only three seconds of loading time, our industry acceptance with these delays is an existing threat to adoption.
Slow transactions are not just a problem with the user experience. High-performance chains such as aptos are capable of thousands of transactions per second. However, we are trying to access their data through “Frankenstein Indexers” – systems come together from tools such as Postgres and KAFKA that have never been designed for unique blockchain requests.
The hidden cost of technical debt
The consequences extend more than simple delays. Current indexing solutions forcing teams to develop in an impossible option: either developing a custom infrastructure (consuming up to 90% of developmental resources) or accepting serious limits of existing tools. This creates a performance paradox: the faster our blockchains get, the brighter our data infrastructure bottleneck.
In real-world conditions, when a market manufacturer needs to conduct a crosschain arbitration trade, it is important that they fight against their own infrastructure, in addition to competing against other entrepreneurs. Each millisecond spent by polling nodes or waiting for state updates represents missed opportunities and loses income.
This is no longer theoretical. The major trading companies are currently running the road -nodes to maintain competition times. The infraneck of infrastructure becomes a critical point of frustration when the market demands climax performance.
Traditional automatic market manufacturers may operate for pairs with low token volume, but they are starting out is not sufficient for institutional scale trade.
Most Blockchain indexes today are better described as data aggregators that build simplified chain state views that work for key use cases but fall under extreme loading. This method may be sufficient for first-generation defi applications, but it is completely inadequate when communicating with real-time state changes in many high performance chains.
Rethink data architecture
The solution requires the start to re -think about how we handle blockchain data. The next generation systems should push the data directly to users rather than centralization of access through traditional database architecture, which activates local processing for real-lattency performance. Each data point requires proven proven, with timestamps and proofs that ensure reliability while reducing manipulation risks.
A major shift is carried out. Complex financial products such as derivatives Be possible onchain with faster blockchains and lower gas fees. Moreover, derivatives are used for price detection, which currently occurs in centralized exchanges. As the chains are faster and cheaper, derivatives protocols will be the main place for price detection.
Recently: The role of stablecoins and rwas in defi
This transition demands the infrastructure capable of delivering data “within an eye” – between 100 to 150 milliseconds. This is not unreasonable. This is the threshold where the notifications of human understanding are the delay. Any slower start limits what’s possible with decentralized finances.
The impending convergence of market forces
The current model of excess node polling and uneven latency profiles are not measured for serious financial applications. We have already seen this with significant trading companies that build complex custom solutions – a clear signal that existing infrastructure does not meet market needs.
As faster blockchains with lower gas fees financial instrumentsThe ability to stream state changes in real time becomes critical for market efficiency. The current data aging model with a multi-second delay funda limit what is possible with decentralized finance.
Emerging blockchains are dating data throughput to uninterrupted levels. Without matching advances in data infrastructure, we will create Ferrari engines connected to bicycle tires – all power powerless power.
The importance for change
The market will force this change. Those who are not fitted will find themselves increasingly unrelated to an ecosystem in which real-time data access is not only a luxury but a basic need for participation.
Opinion by: Maxim legg, founder and CEO of Pangea
This article is for general information purposes and is not intended to be and should not be done as legal or investment advice. The views, attitudes, and opinions expressed here are unique and do not necessarily reflect or represent the views and opinions of the cointelegraph.