For me it will not affect the market too much if the projects listed on the exchange are good projects and also carry a long future, but it is quite sad if the projects just take advantage of the hype defi and they are able to enter the exchange at no cost. Even though their project is nothing special. Many old projects that have been developing suddenly lose out to new projects that use the name defi to become famous.
This is flowing with the wind sort of thing, where since currently its Defi hype so many projects are coming related to it. Till the time it is growing and those who can make money with those coins good and once we see the fall it will be massive, and people would lose a lot if they continue to hold the bad coins. So, choose the coins wisely I can say for now.