Introduction
Since the inception of blockchain and cryptocurrency, it has become possible for individuals to uphold total control over their funds. The actions and powers of centralized financial institutions and intermediaries have been neutralized. This describes the concept of decentralized finance.
Decentralized finance has created a foundation for a new model in the cryptocurrency market through its operations and applications. However, many existing platforms operate their applications in ways that are far from the actual structure of true decentralization. Often, platforms uphold the governance powers making it impossible for the user community to vote for changes or integrate new listings within the decentralized system. A fully decentralized marketplace is a dream to have, as it allows investors to control the entirety of their funds while feeling inclusive in the management of the financial platform. Also, poor accountability and lack of transparency have plagued several decentralized projects in existence, making investors skeptical about the overall concept of DeFi. Smart finance is a project developed on blockchain technology with a focus on creating a fully decentralized marketplace for investors.
To eliminate the aforementioned problems of the DeFi space, a well-drafted plan is required. Smart finance has developed a platform that will consider all the existing problems in the DeFi space, and adopt smart features to solve them. Notably, smart finance will not provide a direct channel to eliminate these DeFi problems, instead, it will adopt functional models capable of dealing with these issues extensively.
How will smart finance tackle DeFi issues?
Fully decentralized governance system:
Smart finance will allow its investors to control the state and actions of the platform. The governance system operated within Smarts will be open and transparent, allowing all participants to vote for and against proposals within the network. The voting process of the smart project will be a function of the weight of an account, and its reputation scores within the system. In essence, the system rewards loyal participants with the powers to decide the actions of the system; this sums up the concept of decentralization.
User governance attributes
Users retain the control of service interest rate on the platform.
The user community can decide to include a new token in the platform listings
Participants also retain the power to redefine the structure and scheme of reward-sharing.
Members of the platform can vote to select new platform administrators and multi-signature wallet candidates.
Rewards mechanism
In the centralized financial system and some decentralized projects, profit on funds are controlled by the system’s powerhouse. Thus, user communities do not have access to rewards and other project benefits. Smart finance will create a platform with a sustainable and profitable rewards model that allows investors to earn active and passive income from the system without extra effort.
Total accountability
Although blockchain technology uniquely features a transparent model, some decentralized platforms have since altered their network’s operation to involve unaccounted transactions. The lack of transparency and trust has raised doubt in the minds of investors towards decentralized finance. That is about to change, as smart has deployed a project with proper documentation and accountability that eliminates the need for trust.
Smarts will utilize the unique features of blockchain, to create a system that gives users a chance at making wealth through a fully decentralized marketplace. The highlight of the Smarts project is its universal channel to earn rewards; regardless of social status, users can earn, vote, and feel inclusive on the Smart finance platform.
What distinguishes Smarts from other DeFi platforms
The Lending Model
The lending model is similar to the loan system in centralized financial networks. It is a system where suppliers make funds available for borrowers within the decentralized system. Notably, both the borrower and supplier earn passive income from the system through the lending model. Suppliers of a market pool are rewarded with interests on their locked assets over time. The income earned is dependent on the demand or activity of the borrower’s market on the locked funds. Borrowers will use their network assets and interest benefits as collateral to access loans. The lending model is a unique feature of Smart and a rare occurrence in the decentralized finance space.
Minute transaction costs
When funds are deposited into the smarts system, the funds are locked up for a defined period. The lock-up period could be up to six months or more, this process helps to avoid the effects of market volatility on user funds. The locked-up funds are then released into the system in batches, reducing the gas fees required to complete a single transaction. Minute transaction costs ensure that investors can initiate and complete transactions with very small fees.
Staking and mining platform
The mining and staking pools are user-centric features. The platforms will allow users to earn rewards from their platform investments. It can be likened to the trading measures centralized financial institutions subject user funds to, for profit-making. Through the staking pool, locked assets will earn interest and improve user rewards expectancy.
Conclusion
Revolutionizing the operations of decentralized finance requires strategic processes due to the sensitive nature of finance. With many decentralized platform operating centrally, the development of Smarts finance is required. More so, the smarts team is made up of individuals with experience in the crypto space. Hence, highlighting the problems becomes an easy task. The distinct features of smarts finance will restore the credibility of decentralized finance.
Smarts has also developed other products outside the walls of decentralized finance that include staking, lending, mining, and many more to drive up user participation and loyalty. More so, the uniqueness of DeFi lies in its consistent creation of evenly-distributed wealth. Thus, the existing systems of DeFi that attempt to centralize rewards will be given a run for their money by Smarts.
The rigidity of many Defi projects will allow smarts to thrive. Smarts is designed with unique features that allow flexibility, token integration, and adaptation. This makes it possible to upgrade the system to fit current trends in decentralized technology.
Through its transparent and secured system, Smarts finance is well poised to revolutionize the operations of decentralized finance.
USEFUL LINKS
Website: https://smarts.finance/
Telegram: https://t.me/smartsfinance
Whitepaper: https://smarts.finance/assets/documents/WhitePaper.pdf
Discord: https://discord.com/invite/rertF5a
Twitter: https://twitter.com/Smarts_finance
Medium: https://medium.com/@smartsfinance
YouTube: http://www.youtube.com/channel/UCp58Zt6o88nj9jH8tKtvzSw
AUTHOR'S DETAILS
Bitcointalk Username: Dicesun
Bitcointalk Profile Link: https://bitcointalk.org/index.php?action=profile;u=2768267
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