DeFi, also known as Decentralized Finance, is an umbrella term for a host of activities that cut the middleman out of traditional financial services like banking. It encompasses loans, interest-earning accounts, money transfers, insurance, and cryptocurrency exchanges. For example, I might lend you $100 worth of Bitcoin (BTC) via DeFi, and I'd then earn interest on that loan -- without involving a traditional lender.
Through DeFi lending, users can lend out cryptocurrency, like a traditional bank does with fiat currency, and earn interest as a lender. Borrowing and lending are among the most common use cases for DeFi applications, but there are many more increasingly complex options too, such as becoming a liquidity provider to a decentralized exchange.
Interest rates are typically more attractive than with traditional banks, and the barrier to entry to borrow is low compared with that of a traditional system. In most cases, the only requirement to take out a DeFi loan is the ability to provide collateral with other crypto assets.
Users can sometimes offer their NFTs, or non fungible tokens, as collateral, for example, depending on the DeFi protocol used. However, these factors also contribute to why DeFi is much riskier than a traditional bank.
There are many ways to get involved in DeFi
If you're keen to get a piece of the DeFi action, one way is to own DeFi cryptocurrency tokens. As the DeFi industry has grown, so has the value of those currencies.
You can also earn interest on your cryptocurrency through DeFi. We mentioned borrowing and lending platforms above, which often pay much higher rates than what you'll find with a traditional savings account. Another route is to use these platforms to stake your coins -- which involves tying them up to contribute to the overall security and maintenance of that cryptocurrency network.
As with any form of cryptocurrency investment, if you decide to dive into DeFi, only invest money you can afford to lose. And make sure you research the industry carefully to ensure you fully understand the associated risks. It's an exciting new world, but it's also one that doesn't have many safety rails in place.
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Get Started DeFi with DeFiai
DEFIAI belongs to DEFI 2.0. It is a community-driven agreement, automates portfolio managers, liquidity providers and price sensors. It supports decentralized trading, and the automated portfolio management of the tokens on the Bsc blockchain and other EVM compatible systems.
Finally, DEFIAI will be developed to the one-stop DeFi product with the cross chain asset summary and revenue market, and it is committed to creating a light, open and free financial world that everyone could participate in.
The main product form is the DeFi aggregator platform for the DEFIAI's liquidity mining, income aggregator, transaction aggregation, enhanced insurance on wealth management and one-key aggregate lending, satisfying the all-round financial demand of the assets. It could offer a growth point for the users, so that they could learn about their future rate of return immediately.
How does DeFiAI let you earn?
As a revenue aggregator, DeFiAI opens up the DeFi protocol at the bottom layer, so that users can obtain the highest revenue DeFi products on the market. DeFiAI invests the pooled funds into major DeFi head platforms and obtains the maximum return through automatic position adjustment.
The DEFIAI platform uses the AI intelligent system to screen safe and stable DeFi pools that have been audited by security audit institutions. In addition to ultra-high compound interest income, it also has the following advantages
DEFIAI transfers asset control authority to users, staking is non-custodial. You are always in complete control of your private keys and funds throughout the staking and lending processes. You are free to un-delegate or withdraw your funds at any time, subject to the lock-up requirements for each protocol.
It has reached strategic cooperation with PancakeSwap, MDEX and other leading DEXs. Due to its unique business model, the DEFIAI project has developed rapidly in a short period of time.
DEFIAI will set up a DeFi pool in the top lending project of the public chain to provide financing for leveraged mining users. Deposit users only need to deposit their assets in the DeFi pool to receive rewards. In the future, DEFIAI will share depth with multiple top lenders to maximize user deposit and borrowing needs.
AI refers to systems and machines that can imitate human intelligence to perform tasks and iteratively improve themselves based on the collected information. AI has many forms, DEFIAI artificial intelligence automatic intelligent investment, collective trading, automatic compound interest, risk management and other applications.
Stable Strategy Pool
DEFIAI will screen stable and secure fund pools to help users earn profits. DEFIAI will also screen more types of fund pools and platforms, such as Three-party valut aggregate asset platform, etc.
Compound interest strategy pool
DEFIAI has its own independent data engine, public opinion analysis, and intelligent monitoring to prevent users from missing high-yield information, and obtain real-time access to the latest online top mines in the market, pledge lending, pledge mining, leverage mining and other ultra-high-yield pools, which will earn money from the stable pool.