Fed's Dot Plot and its DeFi implications

The latest FOMC dot plot really underscores how far out some of the more aggressive rate cut scenarios seem to be pushed. You see the market digesting that, and it's certainly got me looking at DeFi yield plays with a much more critical eye. Higher for longer on the traditional side means the premium for illiquidity and smart contract risk in DeFi needs to be substantial to justify the move. While $LDO is showing some resilience today, the broader sentiment still leans towards a risk-off environment for the next few quarters if rates stay elevated. Just tightening up the watchlist, focusing on protocols with genuine revenue and not just the promise of future fee accrual, especially if the cost of capital in the traditional space remains this high. It changes the bar significantly for what constitutes an attractive yield in a decentralized context.