Connect with us

Sponsored Posts

5 DeFi Projects to Keep an Eye on in 2021

Published

on

Defi Projects

Amidst the Coronavirus pandemic that has stifled global economic activities, decentralized finance systems are emerging as an alternative to the traditional financial system, with a number of DeFi projects leading the foray. 

If you have been keeping an eye on blockchain technology, chances are you may have heard of the innovative crypto niche sector called decentralized finance (Defi). Defi is the next phase of digital finance seeking to rebuild financial services by creating a permission-less financial service ecosystem based on blockchain infrastructure. While cryptocurrencies aim to decentralize money, Defi aims to take it further by recreating the traditional financial system by creating an open economic system void of third parties and intermediaries thereby making global financial services accessible to everyone.

In the last year, the Defi market witnessed tremendous growth in terms of development and adoption. The total value locked (TVL) rose by over 2000%. As the industry matures and continues to attract significant capital investment, industry experts believe 2021 will be the year to catapult Defi into greater heights. As such, it is worth keeping an eye on some exciting Defi solutions emerging in the market.

Top DeFi Projects

Below are the top five Defi projects to watch out for in 2021. You can also check out the top 10 Defi tokens according to market cap.

AAVE

AaaveAave is a decentralized Defi system that allows lending, borrowing, and earning of interest on assets. Built on the Ethereum blockchain technology, Aave operates a transparent open-source system of all activities carried out on the entire network lending protocols.

Assets deposited on the Aave platform are turned into special tokens called aTokens. aTokens are ERC-20 compliant and have value pegged at 1:1 to the collateral deposited on the Aave platform. Additionally, interest on aTokens like aBUSD, aWETH, and aUSDC can be stored, exchanged, or transferred to any ETH wallet at all times. While collateral is lent to borrowers, interests accrue on aTokens are real-time. Thus, making it easy to track your balance.

Synthetix

Synthetix DefiSynthetix is a Defi protocol that enables the issuance of synthetic assets (Synths). It aims to broaden the cryptocurrency space by providing on-chain exposure to a range of crypto and non-crypto assets. Synthetix enables users to create assets that mimic real-world assets like gold, euro, dollar, and Bitcoin.

Synthetix Network Token (SNX) is the main form of collateral backing synthetic assets available on the Synthetix platform. SNX tokens can generate new synths through a process called collateralization. This is when users’ SNX tokens are put into the synthetix platform using Mintr, a Dapp that allows interaction with the Synthetix contracts.

Synths can be utilized for crypto assets (ETH, BTC), non-crypto assets (gold, silver), and even currencies like the US dollar and euro. For example, users can buy bitcoin through sBTC, a synth designed to mimic the value of Bitcoin. There is also sUSD which mimics the real-world value of the US dollar. Synths can track prices of these underlying assets using contract-based price discovery protocols called oracles allowing holders to gain exposure to the real-world market of these assets.

Wrapped Bitcoin (WBTC)

WBTCWrapped Bitcoin (WBTC) is an innovative Defi protocol that enables the exposure of bitcoin into the Ethereum ecosystem. WBTC brings greater liquidity to the Defi ecosystem by providing interoperability of Bitcoin into Defi applications. WBTC protocol standardizes Bitcoin to ERC-20 compliant token, which enables its use on any smart contract on Ethereum; this allows bitcoin holders to take part in all DeFi’s activities. WBTC tokens can be exchanged on DEXs like Uniswap and can be borrowed on lending protocols like Aave.

WBTC tokens have value at a 1:1 relationship with bitcoin. Users can buy BTC and get the same value when they convert it to a WBTC token and vice-versa. The exchange is through the help of a merchant, who after performing the necessary verification executes the swap of bitcoin to WBTC. Merchants are also responsible for redeeming bitcoin from WBTC tokens through a process called Burning.

Uniswap

UniswapUniswap is a decentralized trading platform that allows the exchange of ERC-20 tokens in a financial marketplace that is open and accessible to all. It allows users to participate in cryptocurrency trades without the need for centralized intermediaries or third parties.

It differs from centralized exchanges as it does not require the need for an order book before executing trades. For example, if you wish to buy bitcoin at a specific price from a centralized exchange, you will need to wait for a seller willing to sell an equivalent value of the bitcoin before you can make the trade. It eliminates the need for an order book by using an innovative trading model called automated liquidity protocol. It also allows users to have control over their funds at all times; this is in contrast to centralized exchanges which require users to disclose their private keys.

All ERC-20 compliant tokens can be on Uniswap; as long as the provider makes a liquidity pool available for traders. Uniswap has no listing process, as such, there is no listing fee on the platform. Users can trade all types of ERC-20 tokens, trade and buy BTC using WBTC, and perform all other exchange activities on the platform.

DAI

DAIDAI is an ERC-20 compliant stablecoin by MakerDOA. It has its value pegged to the US Dollar and offers stability and transparency through decentralization. DAI has some unique properties; it can store value, serve as a medium of exchange, and also a means of payment. As such, DAI can be used in the same manner as money or any other cryptocurrency.

DAI can be minted by depositing underlying assets into Maker Vaults, through purchase from exchanges or receiving it as a means of payment. Users can also use different cryptocurrencies aside from ETH as collateral on the DAI platform.

Final Verdict

The Defi industry has taken a significant leap over the last year. Projects like WBTC which allow users to buy bitcoin and exchange it to WBTC open up so many possibilities in the Defi markets.

More investment and exciting projects are rolling out this year as people seek to move away from the traditional financial system to an open system without censorship and discrimination. Like most investors, you will certainly want to add long-term value projects to your portfolio, and Defi offers an excellent way to go about it.

Disclaimer: This is a sponsored post. Readers should do their own due diligence before taking any actions related to any company, product, or service mentioned in this article. BitcoinAfrica.io is not responsible, directly or indirectly, for any loss or damage caused by or in connection with the use of or reliance on any content, product, or service mentioned in this post. 

SportsBet.io

Sponsored Posts

Blockchain Technology: The Driver for Social Change

Published

on

Driver for Social Change

Technologies are created to solve problems. Sometimes they make our work easier and efficient. Sometimes they bring in new ways to do them. The Internet and open-source revolution has already made our world better in many ways, while also bringing new problems of their own. Blockchain technology is the new forefront where similar things can happen. There are many applications of blockchain technology that aim at revolutionizing various industries and commerce. But can it really change our societies too?

In the words of Dev Sharma, CEO and founder of Blockwiz, “Blockchains have the potential to drive some much-needed social changes in our current structures. It can bring social justice through securing records like car ownerships and reduce malpractices by its transparency when applied to supply chains and government spending. The potential is vast and often threatening to authoritarian systems where power is used in the wrong way.”

The world has already started revolting against the misuse of authority and power by public and private institutions. This has brought us laws and policies that protect our privacy and security on the internet. Similar movements have come and faded in the past because efficient systems that can replace the current ones had been missing for the most part. However, with blockchain technology at our side, many such movements can find solid footing now.

Most resolvable social problems arise due to current systems being susceptible to tampering and lacking transparency. Being centralized and hierarchical, these systems have multiple points of failure. This leads to corruption, unreliability, and excessive resource costs. All this can be solved by implementing blockchains in these systems. They can also be used to automate traffic management, property management, tax, fine collections, etc; activities that are vulnerable to misuse and corruption.

“History suggests that centralized systems of governance had failed for the same reason. The unequal distribution of power and misuse had brought down empires. Democracy and federal governance being the closest to decentralization we could get, it is still very vulnerable to socio-political injustice. And needless to say, very inefficient as well. The last two decades have seen a tremendous rise in technology but their direct use to solve socio-political problems has been limited. However, blockchain technology can be a direct solution to many of them.”  added Mr. Sharma of the Canada-based crypto marketing agency.

The concept of smart cities has already taken these applications into account. While the use may be limited to public systems and operations, it can be easily extended to governmental and legal systems. Our current technologies are capable of managing and resolving many small needs of our societies without human intervention or oversight. The only roadblock to a technology-driven social change is the implementation and their use. Especially now, when we have the solutions and yet the problems remain!

SportsBet.io
Continue Reading

Sponsored Posts

Blockchain and IoT – Is There a Future Here?

Published

on

Blockchain and IoT

Blockchain technology has disrupted the world of today, especially as the pandemic hit us. The restrictions and lack of engagement during the Covid-19 waves have diverted the attention of people all over the world to cryptocurrencies. While all that is going on, The technology kept evolving to provide many more use cases for Blockchains we see today. Some of these use cases can be utilized for many socio-economic applications too.

History has it that new technologies are often integrated with other technologies to give powerful applications for the users. One such combination that has been in talks is the integration of blockchain and IoT (Internet of things). Both the technologies are young and disruptive. The market for blockchain technology-based IoT systems has a huge potential in the global market.

“IoT has been one of the most exciting markets of the current generation. It had its issues with security and susceptibility to hacking. Blockchain technology can overcome these issues easily because of its tamper-proof and secure nature. While providers such as Amazon for Alexa devices and others have overcome this to a certain extent, they can still use the decentralized nature of blockchains to further the cause. Similar to what Android did for the smartphone market, blockchain can revolutionize IoT.” said Dev Sharma, CEO and Founder of Blockwiz, a global crypto marketing agency.

IOTA and its Tangle network aim to fulfill this gap in the market. Internet of Things (IoT) differs from most blockchains in crucial ways which makes them unusable for it. IoT can work on a system that supports multiple chains and nodes to connect multiple devices to the system. Conventional blockchains are based on a single-chain connecting and recording all activities to it. Also, as the number of activities (transactions) and the number of branches increase, the speed of transactions decreases and the cost per transaction increases. IoT requires a system that can do the opposite of this.

“The Tangle network is built on the principles of IoT and blockchain technology. As the branches increase, their speed increases while the cost remains negligible. Such a system can greatly increase the applicability and security of IoT activities. Also, being a publically available system, it can be used by developers for a wide range of applications at a very low cost. Being decentralized, it can be used by everyone throughout the globe. This is the heart and core of blockchain technology.” added Mr. Sharma of the Canada-based agency.

One of the most important advantages of using Blockchain technology for IoT is the secure accounting of all activities. This can be used to investigate any IoT system for tempering and misuse. This may not be possible with devices like Google Home, Alexa, and other systems since their data storage is centralized and inaccessible to users without legal intervention.

While many of us consider IoT devices being used in homes to control connected machines throughout our homes, the application of this tech is much more vast. Self-driving cars, traffic control, global supply chains, self-servicing machines, etc can all use IoT-like systems to enhance and automate our processes. However, the most important impact of the system is on the environment. Using lesser resources is the reason why such a system can have negligible transaction fees/costs which also points to savings on the environmental front.

The power of IoT with blockchain technology has the potential to automate large and complicated systems with low resource costs. We have all heard of the concept of smart cities, IoT is among the major technology that is used to define it. These concepts can easily become reality through a public blockchain system for IoT. Our world is changing continuously through technologies and the hope is that we can change it for the better, for us, and for the environment we live in.

SportsBet.io
Continue Reading

Sponsored Posts

12 Days of Crypto: Playbetr Announces a Crypto Africa Giveaway – Here’s How to Take Part

Published

on

Crypto Africa Giveaway

Crypto betting platform Playbetr has announced the official launch of its Playbetr Africa Giveaway. The giveaway, according to Playbetr is designed for a specific category of users Premised on a long-standing tradition of “12 days of Christmas”. 

Ho-ho-ho, Santa Claus and Playbetr are already on their way to their best users with gifts! Playbetr, with the help of Santa Claus, is announcing a big contest for its African community! Each of them is designed for a specific category of users.

In this article, we will tell you about the “12 Days of Crypto” Giveaway.

Premised on a long-standing tradition “12 days of Christmas”. Santa Claus in partnership with Playbetr will be rewarding its growing family in Africa. 

How to Participate & Eligibility

You stand a chance of winning by taking part in any of the following activities.

  • Set up a Playbetr account.
  • Place a bet on our platform.
  • Show your support on our Facebook and Twitter pages.
  • Share your affiliate links with your friends.
  • Tag them under our posts on Social Media.
  • A random like, retweet, placed a bet, or comment under our post – all of these take part in this draw and help you win a prize. So, don’t waste your time and go get your reward.

The competition has a reward system. Each winner gets $10 in crypto in your Playbetr wallet. 

There will be 103 winners in total. The giveaway ends on January 2, 2022. Follow the hashtag across all socials for more details #PlaybetrAfrica.

Don’t waste your time and go get your reward. Good luck, have a great holiday, and bet on Playbetr!

12 Days of Crypto

Disclaimer: This is a sponsored post. Readers should do their own due diligence before taking any actions related to any company, product, or service mentioned in this article. BitcoinAfrica.io is not responsible, directly or indirectly, for any loss or damage caused by or in connection with the use of or reliance on any content, product, or service mentioned in this post. 

SportsBet.io
Continue Reading

Popular Posts