Decentralized finance (commonly referred to as DeFi) is a blockchain-based form of finance, that does not rely on, controlled, or hosted by a central party, central intermediaries such as exchanges, brokerages, government, or banks to provide traditional financial tools, but rather utilizes smart contracts on blockchains technology the most common being Ethereum.
WHY IS DEFI IMPORTANT?
Decentralized finance is important because it has become a known ecosystem of financial applications and protocols set up on blockchain technology with programmable capabilities such as Ethereum and Solana.
DLTify is currently working with CRD Network DAO to make the DeFi market more compliant and more accessible to institutions. We offer a range of regulation-sensitive capabilities and services to make transactions secure, improve the staking process and benefit all stakeholders. Our technology is fully decentralized to maintain the theme of DeFi. It’s built on Hyperledger Besu, an enterprise blockchain built on Ethereum, and provides companies with access to decentralized blockchains.
The transactions in DeFi are carried out automatically through smart contracts right on the blockchain technology.
WILL DEFI BE REGULATED?
The mission of DLTify is to improve the integration between centralized financial organizations and decentralized organizations.
Making the Defi environment a safer place for users by bringing regulation to the market. We help by working as a regulated compliant contributor, providing DAOs with the ability to access services in which regulation is required.
According to the BIS (the bank for international settlements), DeFi must be “properly regulated” in order to secure investors and build trust in the market.
The infrastructure for DeFi and its regulation are still under development and debate.
Decentralized finance is important because you control your money, none is in charge of your finances except you. There is no CEO, this means everyone is accountable and in charge of their funds. We all are equal and important in Defi.
When we talk about fundamental analysis, we talk about Decentralized finance (DeFi).
While cryptocurrency deals with technical analysis, Defi deals with fundamental analysis.
What is Fundamental Analysis?
It is simply understood as embarking on your research, on a token to have a clear knowledge in all about that particular token or coin, whether it is a good buy or not. Thus this action is considered reasonable because it is advised to know about a particular project before keying in.
In life, it is advised to know about a particular action, before engaging in it.
Decentralized finance (DeFi) enables you to understand how a coin was created, to why it was created, that is the (use-case) to also the major reason why you should have your money invested into a particular coin and when to key out. All is by choice when you have fully understood the fundamental Analysis.
DeFi is really important because it sets you free from bank charges and other financial companies charge for using the interests and fees of their service. But that doesn’t imply there won’t be any form of charge, rather you will have many more options since the lender can come from anywhere in the world.
You hold your money in a secured digital wallet other than keeping it in a bank with little or no interest, you can transfer funds in seconds and minutes and anytime you wish to. With an internet connection, you can use it without needing approval of any kind. Be informed that this digital wallet always has recovery phrases when signing in and it is advised to keep those phrases safe for that is your key phrase to unlock your digital wallets.