Cryptocurrency is not just a digital asset, but also has various applications in finance. One application that is on the rise is DeFi, short for Decentralized Finance.
Meaning of DeFi
DeFi is a collective term for financial products and services that can be accessed by anyone using blockchain, especially Ethereum. DeFi offers financial solutions that are more efficient, secure, and automated than traditional systems, without involving third parties. DeFi also promises major changes in the way we transact and invest with money.
Advantages of Investing in DeFi Crypto
Investing in DeFi Crypto has several advantages, including:
1. Real Application
DeFi provides tangible benefits to its users, by providing practical financial tools. Unlike other cryptocurrencies, DeFi provides solutions for everyday financial needs, such as borrowing, borrowing, deposits, insurance, trading, and more. Users can control their own finances without having to rely on banks or other financial institutions.
2. Financial Alternatives
DeFi has the potential to shake up the financial industry, by providing a better alternative to existing systems. DeFi is not just a momentary trend, but a representation of a paradigm shift in the financial world. DeFi offers faster, cheaper, and transparent solutions, and provides freedom and empowerment for users.
3. Institutional Support
Although still in its infancy, DeFi has attracted attention from major financial institutions, both locally and globally. Some banks and financial institutions are starting to collaborate with DeFi projects, or even create their own DeFi projects. With institutional support, DeFi is increasingly gaining legitimacy and recognition.
List of Best DeFi Cryptos
The following are some of the best DeFi cryptos you can consider investing in:
1. Ethereum (ETH)
Ethereum is the largest and most popular blockchain for DeFi, with over 3,000 decentralized applications (dApps) running on it. Ethereum offers a flexible and powerful platform for developing various DeFi solutions, using smart contracts and ERC-20 tokens. Ethereum also continues to innovate, by switching to a Proof of Stake (PoS) mechanism and rolling out Ethereum 2.0 updates.
2. Solana (SOL)
Solana is a new generation blockchain that offers high scalability and high speed, capable of processing more than 50,000 transactions per second. Solana is becoming one of Ethereum's main competitors, offering lower transaction fees and compatibility with the Ethereum ecosystem. Solana also has many DeFi projects growing on it, such as Serum, Raydium, Audius, and others.
3. Cardano (ADA)
Cardano is a blockchain developed with a scientific and academic approach, offering a solid technological foundation and an ambitious roadmap. Cardano recently launched the smart contract feature, which enables the development of various DeFi applications on top of it. Cardano also has a large and loyal community, as well as support from several strategic partners, such as IOHK, Emurgo, and Grayscale.
4. Avalanche (AVAX)
Avalanche is a blockchain that offers high interoperability and scalability, using unique and innovative consensus technology. Avalanche can interact with various other blockchains, including Ethereum, Bitcoin, and Binance Smart Chain, and provides an optimal environment for DeFi development. Avalanche also has fast growth, with over 300 DeFi projects running on it, such as Pangolin, Benqi, Trader Joe, and others.
5. Aptos (APT)
Aptos is a new blockchain that offers solutions to scalability and interoperability issues faced by other blockchains. Aptos can process over 100,000 transactions per second, with almost zero transaction fees. Aptos can also communicate with various other blockchains, including Ethereum, Solana, Cardano, and Polkadot, as well as support various token standards, such as ERC-20, ERC-721, SPL, and others. Aptos has also secured support from several major investors, such as Alameda Research, Multicoin Capital, Pantera Capital, and others.
6. Uniswap (UNI)
Uniswap is the world's largest and most popular decentralized exchange protocol (DEX), allowing users to trade various ERC-20 tokens without intermediaries. Uniswap is also an integral part of the DeFi ecosystem, by providing liquidity and market access for various DeFi projects. Uniswap has a native token, UNI, which is used for governance and incentivizing liquidity providers.
7. Chainlink (LINK)
Chainlink is a decentralized oracle protocol, which provides reliable and accurate external data for DeFi applications. Chainlink enables integration between blockchain and the real world, such as market data, real-world events, weather data, and more. Chainlink has a native token, LINK, which is used to pay network fees and incentivize data providers.
8. 1inch Network (1INCH)
1inch Network is a DEX aggregator, which provides access to the best trading rates and pairs in the DeFi market. 1inch Network combines liquidity and pricing from multiple sources, such as Uniswap, SushiSwap, Curve, and others, to provide an optimal trading experience. 1inch Network has a native token, 1INCH, which is used for governance and incentivizing users.
DeFi and the cryptocurrencies associated with it offer exciting and lucrative investment opportunities in the changing world of finance. By understanding and exploring these options, investors can benefit from the ongoing financial revolution.
How to Buy Crypto on Bittime
You can buy and sell crypto assets in an easy and secure way through Bittime. Bittime is one of the best crypto applications in Indonesia that has been officially registered by Bappebti.
To be able to buy crypto assets on Bittime, make sure you have registered and completed identity verification. In addition, also make sure that you have enough balance by depositing some funds into the wallet. For your information, the minimum asset purchase at Bittime is Rp10,000. After that, then you can make a crypto asset purchase in the application.
Monitor the price chart movements of Bitcoin (BTC), Ethereum (ETH), Solana (SOL) and other cryptos to find out today's crypto market trends in real-time on Bittime.
Also Read:
What is Aave? DeFi Platform Pioneer
Get to Know Composable DeFi, An Innovation in the Crypto World
DISCLAIMER: This article is informational in nature and does not constitute an offer or solicitation to sell and buy any crypto asset. Trading crypto assets is a high-risk activity. Crypto asset prices are volatile, where prices may change significantly from time to time and Bittime is not responsible for fluctuations in crypto asset exchange rates.
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