DeFi entry barriers are lowering

in hive-110112 •  4 years ago 

Under turbulent market conditions, the number of innovative DeFi products is still growing explosively.


This rising market, which has gradually opened since mid-2020, has led to a major explosion of DeFi "new species". At present, the entire DeFi ecosystem is in a relatively stable period of development. According to a data released by Decrypt at the end of February, at present, the total number of global encryption users exceeds 100 million, while DeFi users are only 1.2 million, accounting for only more than 1% of the total number of encryption users. According to a report released by Coinbase, the total value of the current DeFi agreement (TVL) has exceeded US$25 billion, a year-on-year increase of 2500%. Uniswap and Compound publicly claim to have 200,000 to 500,000 users, while most other DeFi applications have 2 users. Between 50,000 and 50,000. These data represent that for more users, DeFi still has a high "early adopters" threshold. The road to decentralized finance requires long-term accumulation. For innovative platforms, the current DeFi development stage is a huge opportunity. A new batch of smart DeFi mining financial platforms represented by CoinWind has been developed. With the continuous improvement and expansion of DeFi infrastructure construction, DeFi will not be exclusive to "scientists". Under the vision of open finance, it will be more The "agricultural era" in a broad sense may be coming. In the case of high market sentiment, ordinary users will encounter huge confusion in the transaction process. On the one hand, most DeFi projects come from overseas and the operation process is complicated. On the other hand, the design and operation of DeFi products are difficult to identify, and the phenomenon of user solidification is serious. The market is also thinking: how to lower the barriers to entry for users in the DeFi field and get the next batch of traffic? The next traffic inflection point: What is the barrier to lowering the user's DeFi entry barriers to the development of DeFi? Those who participated in the DeFi project early and received dividends were mostly a minority of "giant whales", "big households" and "scientists". In the process of participating in DeFi, the gas cost easily rose to hundreds of yuan, and the complicated operation process in the early batch of DeFi infrastructure made DeFi a carnival for a few people. In the concept of DeFi decentralized finance, the low-cost, transparent, trustless, and liquid lending market was originally an advantage, but the current entry barriers and costs for ordinary users have become shortcomings. However, many organizations in the industry have already seen this phenomenon, and based on this, a number of smart mining financial platforms have emerged, becoming the next focus of the market's attention. Take CoinWind, which has the highest increase in the total lock-up value of the decentralized intelligent financial platform protocol, as an example. CoinWind is a typical DeFi intelligent mining financial platform. In this context, CoinWind's platform automatically matches the pledged currencies through contracts, aiming to cooperate with the hedging strategy of impermanent losses, so as to help users maximize their profits. For new users, the platform is easy to make efforts in the direction of increasing the user’s single currency mining revenue and reducing the impermanent loss of LP mining. The most basic improvement lies in the ability to allow users to mine at a lower threshold, so that Small and medium-sized users can participate in DeFi farming and get dividends. Such platforms are in DeFi The role played in the ecology is more like an asset management institution in the DeFi field. Such institutions are often the product of the combination of DeFi and CeFi, acting as a platform such as the "DeFi Digital Asset Bank". Through this type of platform, the different tokens deposited by users can be collected into different pools, and then funds from a certain token pool can be mobilized to participate in different liquidity mining according to the strategy, so as to achieve higher returns for users. In addition, as a new tool for "farming" with late-comer advantages, such platforms are often very advantageous in DeFi mining. For example, on CoinWind, the products here will effectively reduce the impermanence of liquidity mining through a combination strategy. loss. The current popularity of such platforms represents an update of DeFi tools. Previously, DeFi players were required to learn the process and manually mine; later, the birth of machine gun pools such as YFI increased the utilization rate of funds; and now, the smart mining financial platform such as CoinWind is sought after by users, showing that " The latest evolution of farming tools. For DeFi, "farmers" can already push users' capital efficiency to a new level through a more intelligent one-stop smart mining DeFi platform. The data shows that at 4 pm on February 22, the smart financial DeFi wealth management platform CoinWind was launched on the Huobi ecological chain Heco. In less than a day, its TVL (total asset lock-up value) has exceeded 230 million U.S. dollars. The speed of the influx of funds into CoinWind has demonstrated the effect and potential of the influx of users after lowering the DeFi threshold. This data is also the first generation of DeFi platforms that took a very long time to reach. 300 million US dollars. The speed of the influx of funds into CoinWind has demonstrated the effect and potential of the influx of users after lowering the DeFi threshold. This data is also the first generation of DeFi platforms that took a very long time to reach. 300 million US dollars. The speed of the influx of funds into CoinWind has demonstrated the effect and potential of the influx of users after lowering the DeFi threshold. This data is also the first generation of DeFi platforms that took a very long time to reach. 300 million US dollars. The speed of the influx of funds into CoinWind has demonstrated the effect and potential of the influx of users after lowering the DeFi threshold. This data is also the first generation of DeFi platforms that took a very long time to reach. 300 million US dollars. The speed of the influx of funds into CoinWind has demonstrated the effect and potential of the influx of users after lowering the DeFi threshold. This data is also the first generation of DeFi platforms that took a very long time to reach.

This may be one of the signs that traffic is shifting. According to DeBank data, the current total lock-up volume has reached 57. 1.7 billion US dollars. However, in terms of transaction volume, user volume, and market value, the entire DeFi field is still in a very early stage of development, and the future user expansion space still has great imagination. According to incomplete statistics, in the non-extreme market, compared with the 20,000 daily active users of Uniswap, most of the time, the total number of DEXs is only about 10,000 daily active users. This data shows that the current DeFi platform still lacks high-traffic applications, and the user circle is solidified. At the same time, poor user experience and high barriers to entry are bottlenecks hindering the further development of DeFi. Users and traffic such as CoinWind are telling the influx of new DeFi smart platforms that have become a new tool to accept more traffic. At this stage, if DeFi wants to continue to develop, it must reach more users, and new tools will become the "just need" for the breakthrough development of DeFi. The popularization of the concept of decentralized finance will attract more new users to join this ecosystem. The smart public chain boosts the new DeFi tool CoinWind to launch the Huobi ecological chain Heco, which will then run across multiple main chains such as ETH and BSC. To a certain extent, such smart mining financial platforms are often also "borrowing" and "borrowing" from the smart public chain of exchanges. On Huobi Heco, CoinWind's design is integrated into the current Mdex and Heco ecology, and a revenue aggregator is drawn up. However, this is not a traditional machine gun pool. The project distributes the proceeds to users in the form of MDX, fully interacts with the popularity and traffic of Mdex and Heco, and supports each other. The boost of centralized exchanges has helped these platforms expand their user bases in the DeFi field, and at the same time boosted the popularity of their platforms to achieve complementarity. Since most exchanges' smart public chains are currently supported by multi-directional resources, CoinWind also directly obtains the advantages of low cost and simple operation based on Heco. According to the official introduction, CoinWind will switch funds to higher-yield DeFi projects for liquid mining, and smart contracts will automatically match the high-yield liquid mining capital pool. After the product upgrade, CoinWind can hedge the impermanence loss and present the form of single currency mining on the front end to achieve the best effect of single currency mining. At this stage, in the face of problems such as "mining disasters" that have been exposed in the market, users have new demands for security. DeFi like CoinWind Platforms combined with CeFi can better consider emerging issues. On this platform, CoinWind will conduct professional research on numerous liquid mining projects in the market, and select safe, reliable, and high-yield projects. At the same time, smart contracts undergo multiple rigorous audits to avoid more security risks. At present, the data of DeFi transaction users is still a small number compared to all transaction users in the world. When CoinWind is open to users, its product design and operation process have been simplified, allowing one-click participation in DeFi aggregation mining. For new users, if they know how to use an exchange, they can use such a DeFi platform. According to CoinWind's official website information, it currently supports depositing USDT, MDX, WHT, HBTC, and ETH for single-currency pledge mining. Currently, mining can obtain MDX, the governance token of MDEX, the decentralized trading platform on Heco. The annualized return rate of single currency pledge of these 5 assets fluctuates in the range of 50%-200%, which is a relatively high level. When we measure the popularity of DeFi, we need to know that the current user base of DeFi is still very few compared with mainstream Web 2.0 applications. However, for digital currency and encryption, this is our most precious fire. Previously, in the face of extreme market conditions, people's views on DeFi have gradually matured. What is gratifying is that, for now, the DeFi boom has not entered a low ebb as some previous rational views put forward. Facing the new year of 2021, most investors still regard DeFi as an important track with strong explosive growth. When we look back at DeFi, if the concept of decentralization can be truly popularized, the market still needs more ordinary users to join it. Some DeFi has even higher thresholds than previous blockchain projects, which is a problem that needs to be considered. Behind this problem may be the next hot spot in the market. Compared with 0 applications, it is still very few. However, for digital currency and encryption, this is our most precious fire. Previously, in the face of extreme market conditions, people's views on DeFi have gradually matured. What is gratifying is that, for now, the DeFi boom has not entered a low ebb as some previous rational views put forward. Facing the new year of 2021, most investors still regard DeFi as an important track with strong explosive growth. When we review DeFi, if the concept of decentralization can be truly popularized, the market still needs more ordinary users to join it. Some DeFi has even higher barriers to play than previous blockchain projects, which is a problem that needs to be considered. Behind this problem may be the next hot spot in the market.

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