Topic: Credefi combines the best practices of DeFi and traditional finance - page 11. (Read 3287 times)

CREDI and xCREDI Tokens

Now is a great time to talk about the CREDI and xCREDI tokens again: their features, advantages and use cases. Read on to find all the answers.
CREDI would act as the project’s main token. As mentioned, it will be used for rewards on the platform, and this is also the token used in the token sale. However, it was designed in a way that will give it a perpetual inflation of -5% per year, depending on the overall CREDI supply.

Apart from simply being used as a reward, CREDI also has other tasks, such as increasing the project’s security. Essentially, the token adds a security layer for the issued loans on the platform, as users who want to get xCREDI first have to deposit their CREDI into the security module of the platform. Any CREDI that gets into the module can also be used by the platform to remunerate lending liquidity providers, just in case a loan on the platform ever goes into default and liquidation.

Users can obtain CREDI by buying it during the token sale, purchasing it from Uniswap via the CREDI/DAI liquidity pool, or earn it as a reward for lending liquidity for the platform, liquidity pool, or the xCREDI/DAI liquidity pool. After obtaining the token, users will be free to keep it and provide liquidity for more rewards, sell it on Uniswap, or convert it to xCREDI and then use this token further.

Owning xCREDI brings its own benefits, of course, including the ability to participate in the platform’s governance, provide liquidity and get rewards, or simply trade it on Uniswap DEX. The project expects that there will be a continuous demand for xCREDI due to the LP program and buybacks, so there should be no shortage of users willing to buy the token via the DEX.

Hold or sell? What types of traders are there?

We have covered the different strategies traders can follow to be successful. Now let’s talk about what kinds of traders there are, and which one are you?

Position trader (short term) — the most common type. Gets into trades frequently, but closes his positions before low liquidity periods (holidays, summer vacations, etc.)

Long term investor or hodler — his trades can span several years, which he will only close upon major trend shifts.

Scalper — does a lot of short trades that can last as little as just a few seconds. As a rule, each trade is rather inconsequential, but in the long-term perspective, they add up to a nice profit overall.

What kind of trader are you and what methods do you follow? Let us know in the comments!

DeFi Market Stats

We continue our weekly tradition of publishing main stories in the DeFi market! The decentralized ecosystem hasn’t been this sideways in some time! DeFi’s total value locked (TVL) is currently $55.24B, just barely down from the $55.73 TVL we saw at this point last week. So where’s the next breakout, up or down? That remains to be seen, but something’s gotta give soon you’d think. If the markets do rip back up in the near future, the recent surge in layer-two (L2) scaling developments will surely play a non-trivial role in making that happen.

Credefi Ambassador program reminder

A friendly reminder! We have launched the Ambassador Program, designed entirely for Credefi enthusiasts all over the globe who wish to spread the word about the protocol across their own international communities.

This is an opportunity for everyone who likes our project to help it develop and earn tokens for it! Simply follow through to our Medium to learn more about the Ambassador program and participate in it!

Welcome!

Central banks have been showing interest in Bitcoin

A new article has been published on Cryptonews, talking about a survey of 30 central banks, bringing somewhat surprising results as some bankers showed signs of openness to crypto assets such as Bitcoin (BTC).

14% of the respondents said that central bank digital currencies (CBDCs) would increase pressure on these banks to invest in crypto, while 83% of the participants replied that the learning process of investing and managing this new asset class itself could be valuable for the institution they represent. 28% of participants see benefits coming from cryptocurrencies as an uncorrelated asset, and a further 11% would consider it as an alternative to gold. Also, central bankers are becoming more concerned about inflation.

All of that means that the financial market situation is changing: if you can get 1% in a bank, or 6-7% in DeFi, like Credefi, what will you choose?

Cryptocurrencies Around The World

We believe that cryptocurrencies are the next step in the development of the financial system. This is why at Credefi we are diligently working to bring cryptocurrencies to the maximum number of people, enabling them to use crypto everywhere — wherever they are! In the meantime, we would like to show you a study by Chainalysis, a crypto analytics company, which has shown that the top-10 countries when it comes to cryptocurrency activity are:

- Ukraine
- Russia
- Venezuela
- China
- Kenya
- USA
- South Africa
- Nigeria
- Colombia
- Vietnam

To make the study as objective as possible, researchers looked at population size, the country’s economic performance, as well as the amount of digital assets transacted per capita; cryptocurrency holdings; retail and p2p transactions worth over $10,000, calculated against purchasing power parity.

We hope that our project will be able to boost cryptocurrency development even further and help people and SMEs to adopt digital assets sooner!

Where to learn more about Credefi?

We would like to remind you that Credefi has active social media accounts across a number of platforms. If you want to stay informed on our latest news — subscribe to us on the platform of your choice!

Telegram chat https://t.me/credefi
Reddit https://www.reddit.com/user/Credefi
Twitter https://twitter.com/credefi_finance
Bitcointalk https://bitcointalksearch.org/topic/credefi-combines-the-best-practices-of-defi-and-traditional-finance-5330290
Medium https://medium.com/credefi
LinkedIn https://www.linkedin.com/company/credefi
Discord https://discord.gg/R5C9tpZY3t

And if you have questions about our project — don’t hesitate to ask them! We are always ready to answer!

Credefi Roadmap

You often ask us about our project’s roadmap. In our website updates, we have dedicated an entire section for the roadmap. However, in this post today we would like to draw your attention to our plans. So, let’s have a look at the Credefi roadmap!

The development of Credefi is in full swing, and in the near future we will have our testnet smart contract independently audited. It is only then that we will go through with our public sale, even though there already are funds among our investors who believe in us, for which we are very grateful.

The platform launch is scheduled for the second half of 2021. Don’t miss the project’s news, we have a lot of things planned for Credefi development!

To stay up to date with our news, give us a follow! You can also keep track of our updates on our social media or the official website at https://credefi.finance

DeFi Market Stats

We continue our weekly tradition of publishing main stories in the DeFi market! DeFi is showing a bit of renewed strength lately, with the total value locked (TVL) in the ecosystem having risen from $52.94B to $55.73B since last week. That makes this the second week of steady growth in a row now for DeFi after its TVL slump to ~$49B toward the end of June!

So we might not have seen explosive growth in recent days, but the acute return of DeFi’s uptrend has more people starting to settle down and feel firmly bullish again.

Why do you need CREDI tokens?

CREDI is an inflationary token used for rewards on the Credefi platform and the token used in the token sale. CREDI has a perpetual inflation of 5% based on the initial token supply of 150 million tokens.

What are CREDI used for on our platform? Everything! It is an effective instrument for staking, reward generation, yield farming and exchange. We try to leverage it as an investment mechanism in the first place, and as our native token, it is instrumental for the maintenance of our platform and spreading rewards. In order to manage money effectively and take advantage of all the platform's features — you simply need the CREDI token!

Let's talk about profit!

How exactly will Credefi guarantee a good APY depending on the risk appetite of the user? This is pretty simple - we leverage our staking mechanism to ensure the consistent and stable supply of funding on our platform. Those who choose to yield-farm, receive a stable return as a reward for their holding. A guaranteed 10% APY is a golden mean - it’s not over the top, but at the same time, it way exceeds many prevalent on the traditional financial market.

However if a user wishes to undertake a higher risk and accordingly receive a higher return they may choose to do so on our platform, the highest risk range offered by our platform can return up to 60% APY per annum. In this sense, our platform goes way beyond what banks can offer and also satisfies the appetite for a moderate risk or higher risk which justifies a higher return.

Want to learn more? Visit our website: https://credefi.finance

What are Stablecoins?

We have mentioned the term “stablecoin” many times. What is it, anyway? How are stablecoins different from other cryptocurrencies, what are they good for and why have they become so popular? Let’s find out!

The first and most striking difference between stablecoins and regular tokens is that they keep all the advantages of cryptocurrencies (decentralization, transparency, anonymity) while being totally unaffected by volatility issues. As a rule, they are pegged to a fiat currency.

By the way, there are stablecoins that are pegged to other cryptocurrencies – a form of asset tokenization. For instance, to be able to use Bitcoin in DeFi projects on the Ethereum blockchain, wBTC – a tokenized Bitcoin, was created.

Some stablecoins are backed by real assets, while some maintain their peg through algorithms only.

In the field of DeFi stablecoins are playing an integral part and are used as the foundation for a lot of protocols. Our project is no exception.

This way stablecoins serve as a bridge between the world of traditional finance and that of cryptocurrencies. They are vitally important in increasing cryptocurrency technology adoption, making it more and more widespread each day.

Credefi Announces Official Ambassador Program

Team Credefi is beyond excited to announce its brand new Ambassador Program, designed entirely for Credefi enthusiasts all over the globe who wish to spread the word about the protocol across their own international communities.

☑️ What is in it for you, you might ask?
☑️ What will you do as an Ambassador?
☑️ What reward will you get?
☑️ How to apply and become a proud Credefi Ambassador?

📍 Answers to all of these questions at the link:  https://link.medium.com/uoXaOqZzHhb

DeFi protocols VS CeFi platforms

The crypto lending market is constantly developing! But let’s try to figure out why that is. Why are decentralized financial protocols better than centralized ones when it comes to lending?

CeFi platforms (both virtual and traditional) work on the same principle as most banks. In fact, banks are CeFi platforms by nature. They hold deposited assets, sometimes lending them to third parties, which ensures profit for the depositor, and a loan to the borrower. On paper, this model sounds good enough, but in reality we are stuck with a number of issues such as embezzlement, hacks, artificially low balling interest rates, etc.

DeFi protocols can, on the other hand, allow users to become lenders and borrowers in a decentralized system, and have full control over their money. This has become possible thanks to smart contracts that function on open blockchain solutions, such as Ethereum. In contrast with CeFi, decentralized platforms can be used by anyone anywhere, without the need to submit personal data to a central authority, wait for it to process the data or go through tedious bureaucratic procedures. As you can see, DeFi solutions are much more attractive, which is why we are working hard to combine the best from both worlds — centralized traditional finance and decentralized cryptocurrencies. It is thanks to this approach Credefi has managed to build such a capable and useful product!

DeFi Market Stats

DeFi’s back on the mend, at least acutely, as the decentralized finance ecosystem saw its total value locked (TVL) climb from $48B to $52.94B since this time last week.

Is the latest crypto shakeout over, then, and is $100B in our near-term targets again? That remains to be seen!

Fiat – Out, Cryptocurrencies – In

Digital currencies are the future. The Credefi project team realized this long before entire countries started thinking about creating their own digital currencies. Once our project came to be, we began building our own digital currency, and what do we have now? In an effort to make up for wasted time, whole countries are rushing to create national cryptocurrencies!

Among the countries diligently working on the launch of their own cryptocurrency are China, Japan, Turkey… Digital assets have also been of interest to the US and some European countries (Estonia, for example, already has a digital currency in place). El Salvador has decided to simply adopt Bitcoin as a legal tender.

What is the natural conclusion? Today governments understand: the fourth industrial revolution is coming and the economic system will also change – fiat will fall out of existence. Time will tell whether or not national cryptocurrencies will be in demand, but such currencies won’t be decentralized, that’s for certain. Lest we forget that decentralization is the primary advantage of any cryptocurrency.

Why do more and more people use cryptocurrency?

Buying things using cryptocurrency or sending money in Bitcoin is absolutely normal to a huge number of people all over the world! Cryptocurrency's user audience is growing every day, but why is that?

The field of cryptocurrency has no authority that decides whether or not your transaction goes through. Nobody can block your wallet or inquire about the nature of the money transfer. Nobody limits the amount of money a user can send or receive.

Traditional payment systems have all kinds of built-in limits, checks, human errors and legal boundaries. That being said, all of the above works against the client, always. In crypto, however, everything is in the hands of the users. This is why the main cause of its growth in popularity is how it offers independence in handling your finances!

At Credefi we want to give cryptocurrency holders even more abilities to manage their finances! Borrowing or lending money through our protocol is fast, transparent and effective. We combine the best aspects of both traditional finance and cryptocurrencies, offering you an opportunity to make money — and make your life easier!

The Global Liquidity Market

When looking at the global economy today, it is undeniable that one of the most foundational components that underlies a large number of financial products is the ability to lend and borrow assets. Lending provides participants passive yield at a controlled level of risk, while borrowers gain access to working capital for which they can do as they please. This is what is commonly referred to as a money market.

In the traditional financial system of today, money markets are operated by centralized middlemen. It is them who end up making the decisions on whether to approve a loan or not, how high the interest rate should be, putting a limit on a lender’s profitability — effectively disrupting the ability for any participant to engage in financial activity. Such centralized middlemen have proven historically they have no ethical barriers against such activity.

What if there was a money market that didn’t require a centralized middleman, but instead interactions were facilitated by a credibly neutral decentralized protocol that nobody could interfere with? We believe the market situation could be much different! This is exactly what we’re striving towards with Credefi! We are building a platform that combines the best practices of DeFi and traditional finance. Our hybrid mechanism solves real life problems and inefficiencies of the conventional banking and finance sector, and provides unique opportunities for both borrowers and lenders.  Using blockchain guarantees transparency and accessibility of our solution, which means there will be no artificial barriers to loans!

Credefi: two-token project

We would like to remind you that the Credefi token economy setup follows a state-of-the-art two-token system with added incentives for users who contribute to the system’s stability:

- CREDI — an inflationary token used for rewards on the platform;

- xCREDI — a variable supply (but deflationary in the long run) token created by burning CREDI and stabilizing the Credefi ecosystem.

Two tokens allow projects to fine-tune their economy. Two tokens enable more features, mechanisms and opportunities for our users' benefit! This way Credefi enables users to make money and participate in the governance process, voting on various initiatives!

Digital Kapitalist About Credefi

You might have got used to reading about our project, how about watching a video about it? A YouTube channel Digital Kapitalist has released a review of our project some time ago, and if you haven’t seen it by now, this might be the time to do it!

We are excited to share the link to the review: https://www.youtube.com/watch?v=TcFOtnV70PQ