While Elon Musk and Dogecoin have seemed to dominate crypto headlines lately, for some, decentralized finance continues to prove popular and becomes an even more attractive opportunity to invest as the market is bleeding.
DApp Radar revealed in mid-May how Polygon, a top platform for scaling and development on Ethereum, grew by 75,000 users over the past week. Investment into the DeFi field continues even as unique projects keep entering the scene that force investors to engage with new technological areas.
Research shows out of the $3.18 billion that poured into crypto and blockchain projects during Q1 2021, decentralized finance accounted for 26% of the funds.
DeFi only continues to rise in popularity as the total value locked into projects keeps growing.
The ability to improve financial services efficiency with disintermediation is an attractive prospect for many who are disappointed or wary about ‘traditional’ economic engines.
This upcoming summer only looks to be one of continued innovation and growth for the DeFi field. Here’s a brief overview of five innovative projects interested crypto users should keep their eyes on during the summer months.
deFIRE: This decentralized smart order routing engine made waves in mid-May after announcing a $5 million pre-IDO funding round. Funding support came from well-known crypto investors like Morningstar Cryptodrop Fund, SwissBorg Ventures, and Louis Capital, among others. The deFIRE team, building the platform on Cardano, uses Changelly’s cross-chain liquidity to offer order routing, token swapping, and the ability to serve as a transaction intermediary. deFIRE will also serve as the fiat on-ramp and swap platform for Cardano. The platform continues to be incubated by Occam.fi, the first decentralized launchpad for Cardano. The deFIRE team now prepares to unveil the native token via a DEX offering on the OccamRazer platform.
Premia Finance: This DeFi protocol intends to offer products that are not currently natively seen across the decentralized finance landscape. Users can ‘mint’ (write) custom call and put options for a variety of assets, stake the native Premia token to earn a portion of platform fees, and buy and sell using linear bonding curve mechanisms. The Premia team has struck deals with COVER (Cover Protocol) and DPI (IndexCoop) to add their tokens to the respective marketplaces. Premia insurance has also been added to COVER”s marketplace. The platform remains unique as it is one of the leaders in the DeFi space allowing users to manage risk while trading on the blockchain.
Cook Protocol: Cook Protocol, a decentralized cross-chain asset platform for investors and asset managers, aims to enter into the rapidly-growing crypto asset management market. Users can select investment options provided by fund managers in a transparent and open manner. The entire platform and all user funds are insured by Nexus Mutual, making the platform one of the most unique and innovative in the space. Cook token holders also hold a unique amount of influence and can propose modifications to the governance model, update the DeFi whitelist, and adjust platform fees. Investors using Cook have access to a user-friendly UI and a range of index-based and actively-managed funds.
Don-key Finance: This platform helps interested DeFi enthusiasts find top-performing yield farmers and make it simple to follow their strategies. Many yield farmers understand work can become challenging as they worry about performance, congestion, and constantly search for new and better opportunities. On Don-key Finance, farmers can receive verification, build their strategies, and then open up a liquidity pool. Those interested in learning about the yield strategy pay a small fee for information access.
Holdefi: On Holdefi, users can lend and borrow crypto assets to accrue interest or receive a generous yield. Built on Ethereum and the Binance Charm, Holdefi team members are preparing to ensure the platform can run on Ethereum’s PoW protocol while still operating seamlessly once the PoS upgrade is made. Smart contracts govern transactions on the platform and the supply pool is kept separate from the collateral pool, which protects user assets. The Hooldefi team believes relying on different decentralized channels keeps collateral intact. A March public sale raised $1,250,000 after users bought about 2 million HLD tokens.
DeFi continues to gain momentum as more in and outside the crypto world understand its immense potential.
Decentralized markets are often cheaper, faster, and much easier to foster transparency with than their centralized counterparts. The above projects should continue to make big moves over the summer months as they endeavor to revolutionize the financial landscape.