DeFi is short for decentralized finance that includes digital assets, protocols, interconnected networks, synthetic tokens, smart contracts, and dApps built on blockchain.
We can refer to DeFi as the Proof of Stake (PoS) Economy, as we validate it ourselves as users.
DeFi means that there are no intermediaries between your money and your operations.
Imagine having at your disposal – anywhere in the world and at any time – a series of state-of-the-art financial products in technology and performance, with which to grow your economy.
The ever-growing ecosystem that Elrond puts at your fingertips will have an easy and highly operable design for all types of users. In the end, it is about making blockchain something as simple as email.
1. They are very safe.
2. Highly decentralized
3. Without going through third parties
4. Transparent
5. Without borders
Beyond HODL or staking, DeFi 2.0 allows cryptocurrency holders to create new ways to make money and increase their investments.
DeFi is also intended for users not necessarily familiar with the blockchain, as it offers a pleasant, fast and reliable user experience. It even offers traditional financial products through decentralized platforms. This may be the engine that opens the doors for traditional investors to step into the Elrond ecosystem by seeing the many possibilities it offers.
Talking about the user experience
Have you tried opening a pension, savings plan, or using a financial product through your bank? The experience can be truly painful for many reasons. Well imagine being able to operate financially with your cryptocurrencies without anyone having to give you permission to do so!
Additionally, a safe, transparent environment and without office hours. With much higher returns than traditional financial products, much more flexible and you are in control at all times.
We highlight some of the most impressive products and projects within the partners Elrond is working with.
STAKING
Ramp
It has a great team of investors and advisers from the traditional financial market. Solving the problem of users using the Ethereum ERC20 network when they do not usually work on it.
They have a great solution to convert the non-Ethereum standard into a collateralized stablecoin and vice versa. So you can do staking and get interest, both with a variety of coins and also with the native token produced by farming in Ramp DeFi that you can continue operating and investing. They offer finance, mining, farming, staking, exchange, and liquidity pools.
StaFi
It is an open source project built on Polkadot with Substrate, which allows to perform complex off-chain operations and use those results within the blockchain.
You no longer have to wait to unlock your crypto to be able to trade. From the staking of your tokens, you receive rewards in a different token to be able to trade, while your original investment continues to produce profits. You can exchange them for FIS -which is its native token- to have capital to pay the fees and commissions derived from the use of the platform.
DECENTRALIZED TRADING
Connect your wallet and trade without anyone controlling your assets, being you - and not a centralised entity - the one who benefits from it.
Injective Protocol
It is a totally public and decentralized tool that even allows you to create new derivatives markets, or access Futures as equals, without a centralised entity deciding when to cancel all positions and collect millions in benefits, this with Injective will fall directly and only on the users.
Orion Protocol
It is a decentralized platform that connects to all the main Exchanges DEX and CEX so that you always get the best price for your tokens from a single portal. It has a robust and secure code that offers multi-wallet, a DEX and a CEX module, a DApp market, arbitrage applications, algorithmic trading bots, investment funds and payment integration systems in which the end user always benefits.
MULTI-CHAIN NETWORKS
Fire Protocol
Fire Protocol is the only project based on the Huobi blockchain, fast, scalable and with low fees. Interoperability between protocols it’s an essential part of Elrond’s vision for the Internet of Money, and Fire Protocol is already working with Ethereum.
DIGITAL IDENTITY
Shift
To improve the security and trust of users, Elrond works with Shyft to facilitate the validation of digital identity at government and corporate levels for the members of the network, so that no sensitive data is stored on the blockchain. And it offers consent mechanisms before any data can be recorded.
BRIDGES BETWEEN CHAINS
Swingby
It has built reliable bridges between BTC, ETH, BSC, Elrond, and other chains to facilitate quick exchanges without relying on central custodians. Improving the user experience
Reef
Its platform is based on Polkadot and offers its cross-chain operations with a system that allows automating the exchange, loan, credit or staking process. They will also provide a solution to the huge Ethereum fees for those users who want to access DeFi. They are truly focused on reducing user friction when using decentralized financial products.
DEFI TOOLS FOR THE END USER
Dfinance
They provide the foundation for emerging projects, with detailed explanations every step of the way. Dfinance takes the stress out of understanding the technical complexities behind blockchain, decentralized technology, and smart contracts, offering an intuitive and easy-to-use platform. If you have an idea, they put the tools together with super intuitive and step-by-step implementation modules.
Nord Finance
Nord Finance is an advanced DeFi ecosystem. Simplify finance by combining some of the key features of traditional finance with dApps and blockchain technology.
It runs on Ethereum, but has cross-chain interoperability. It offers a multitude of traditional financial products such as savings, advice, loans, investment management, funds and swaps.
Ideal for those who know the classic market and want to benefit from an improved general user experience, with greater functionality and unsurpassed security mechanisms, since it has passed security audits of the highest standards.
SINTÉTICOS
OpenDefi,
Known as cyberpunk, is the tokenization of the real world. Real assets, such as real estate and gold, can be tokenized to provide fractional ownership to holders. All assets will be 100% insured and verified. What you see is what you get. No hidden fees or time-consuming red tape. The best part is that everything is liquid, which means that users are in control of when, how and where they use their assets.
HYBRID
Connected to the traditional system. The perfect bridge.
CENTAUR
It is the perfect example of mixed finance. Those that operate with traditional banks, the old fashioned ones, but with blockchain tools that allows them to be decentralized, anonymous and secure. For example, you can facilitate a loan with your staking, based on the financial history of the applicants. As it is regulated and complies with KYC policies for the identification of traditional bank users, it allows you to protect yourself from legal problems due to breach of contracts.-
Finnexus
It is one of the distributed financial networks that aim to unite a multitude of chains in an interoperable way, to make classic commercial operations compatible through the advantages of the blockchain.
It is an application so that developers, providers and users can use DeFi services in an easy way, with a liquidity Pool with great rewards. Finnexus is definitely in the Top of DeFi finance.
EXCHANGE AND LIQUIDITY
Zeroswap
Forget about fees. Zeroswap’s goal is to resolve the friction of high commissions between networks. The creation of its DeFi ZEE token is intended to be distributed among transaction validators to run with transaction fees. It can be traded on BSC, Elrond, and even Ethereum. Zeroswap is designed to make the user experience with DeFi products easier and more robust.
PancakeSwap
Within the Elrond ecosystem there are a series of projects such as PancakeSwap that are number 1 within the Binance Smart Chain (BSC). Its approach is yield-farming, which in human language is a way of blocking your funds and by doing so getting rewards that you can reinvest to continue providing you with interest.
You can combine several of your assets to produce other tokens with which to continue buying your favorite crypto.
SYNTHETICS
Dafi Protocol
To understand synthetics we can think about how little we like the volatility of the price of our tokens. To incentivize long-term asset ownership, Dafi has created a solution to combat inflation and make it easier for us to trade with limited synthetic tokens (which are backed by real tokens). This way we can endure the loss of value in the regressive moments of the market.
COPY TRADING
Dexe
It is the tool we have been waiting for to copy the strategies of the best traders applied to our favorite currencies. DEXE is a decentralized trading platform in which you can imitate positions in the market, and receive a token equivalent to the investment made. As you make profits you can continue to reinvest using the same Smart Contract signed in the first operation.
After having seen all the colorful range of Elrond DeFi possibilities unfold, we invite you to visit the Partners page where you can learn more about their projects.
CONCLUSION
After having seen Elrond’s colorful range of DeFi possibilities unfold, we invite you to visit the Partners page where you can learn more about their projects.