When something grows, things break. Especially when they are new. That’s what we’re experiencing with DeFi right now.
If you’d have told me a year ago that in 2020 a new wave of hype was going to come to crypto, I’d have believed you. Most holders thought that it was only a matter of time. However, if you said that it’s all going to revolve around decentralized finance (DeFi), I would have been less inclined to take your word.
A year ago, DeFi existed but it was nothing like it is today. It was an underground concept that gave people the opportunity to earn some interest on their crypto holdings, but it was fairly complex and just generally little-used. Today, that’s not the case. If you’re a crypto holder, you’ve heard of and likely used DeFi. Not just because it’s hyped, but because it offers something genuinely valuable.
With DeFi you can gain access to financial services that provide better benefits than traditional banks, while allowing you to remain completely anonymous. That’s the beauty of decentralization. There’s no middleman, so no hefty fees from third party interactions or anything of the sort.
However, the large and rapid growth of DeFi has exposed some flaws that need to be fixed if things are going to continue. If they aren’t, DeFi might not get any bigger. Simply, Ethereum seems to be a bottleneck. Which is a problem, because a large amount of DeFi is hosted on Ethereum.
Transactions are getting slower, and fees are getting higher. It’s not sustainable to continue using DeFi like this. And even if the larger players don’t mind paying $50-100 per transaction, there’s no way new users are going to come flooding in when transactions are priced so high.
All of this is what Deficliq is trying to solve.
Deficliq is a vast DeFi ecosystem that utilizes Polkadot technology to facilitate cross-chain communication, increasing scalability and decreasing transaction costs. Deficliq has two high-profile advisors onboard: Charlie Shrem and Ioana Alexandra Frincu. The Deficliq platform offers numerous impressive features – let’s take a look.
First and foremost, the platform is completely anonymous. The team believes in the power of decentralization, and these principals mean that it doesn’t matter who you are, you should have access to the same financial service opportunities as anyone else.
Deficliq is the first company that offers collateralized and uncollateralized loans in one platform in crypto, with both p2p and traditional options to take loans.
Of course, you can’t have DeFi without yield farming. Deficliq will have yield farming, with farmers earning Cliq tokens for providing liquidity to automated market maker (AMM) and to the lending pools.
Users will be able to stake Cliq tokens on the platform and receive incentives, giving them the opportunity to earn more tokens on the platform.
Decentralized governance is something that a lot of DeFi platforms lack at the moment. Sure, they let you interact with DeFi, but there are still a few people behind the scenes running the show. Is that really decentralized? They decide what’s available and what’s not. Most people believe that the control should be placed in the hands of the users.
That’s what Deficliq is doing. A Distributed Autonomous Organisation model will be used to control platform governance. No central authority will control the protocol, which means Deficliq will be truly DeFi.
CLIQ is the native token of the ecosystem and grants the holders a number of exclusive benefits. The most obvious is voting and governance – by being a holder, you gain a share of control over the Deficliq platform as a whole. One must stake CLIQ to gain votes.
Beyond this, the token gives holders access to earning opportunities like staking rewards and yield farming, as well as opening access to value exchange for collateralized or uncollateralized loans.
Partnership with Ferrum Network
Deficliq recently announced a partnership with Ferrum Network. This partnership will provide Deficliq access to numerous features on the Ferrum network, including their Liquidity Staking Technology. You can learn more about this partnership here.
Deficliq is an up-and-coming DeFi ecosystem that utilized Polkadot technology to allow cross-chain transactions, vastly increasing scalability and decreasing transaction cost. On top of this, Deficliq is the first company that offers collateralized and uncollateralized loans in one platform in crypto, which sit alongside a whole suite of other decentralized finance offerings including yield farming, staking and more.
*This article has been sponsored. The Daily Chain encourages you to carry out your own research before you make any form of investment and educate yourself about how to stay safe in the crypto space.