By the way, the point defi enthusiasts make about how that's just the same way interest in the "legacy" financial system works already is also true. The only difference is that the existing financial system takes its current interest payments out of future growth in real resources and productivity. And this is why double digit interest rates are extremely rare; because that rate of real growth is difficult or impossible to sustain for long.

But thus far, defi remains a closed purely financial loop, without creating any real non-financial growth, so it's all zero sum, just pitting current speculators against future ones.

You can't pay the rent or utilities with them, you can't pay with them at the store or anywhere else.

Meaning unless you can convert your random tokens - that are not accepted almost anywhere in the real world - to good old USD/fiat, you virtually have nothing.

That's the failure, smart contracts do not ensure you get real USD dollars out off the system, the ones normal people accept as legal tender.