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Decentralized finance (DeFi) is blockchain technology’s most impactful development. For example, Ethereum and Binance would not be the powerhouses they are today without their smart contracts running decentralized finance applications.
DeFi protocols provide much-needed liquidity to the blockchain development sector. On top of that, DeFi is an excellent passive income generator for liquidity providers via yield farming, liquidity mining, and staking protocols.
Decentralized finance applications also harness the power of peer-to-peer networks, creating intermediary free and community governed financial systems. The benefits of blockchain decentralization tend to shine brightest in community-governed crypto projects.
DeFi token holders’ loss of value challenges
These tokens bring people from all corners of the globe together, rallying them under one common goal. Community members then spread the project’s message to other people across social media, pushing the token’s value higher.
Unfortunately, some crypto investors often lose gains whenever the value of their digital assets drops drastically. Crypto volatility is high and could degrade the value of the profit earned in various DeFi protocols in a short period of time.
Additionally, well-performing community governed tokens face negative sell pressure from whale investors that purchase these tokens then sell them off en masse for profit. When a project's early holders liquidate their holdings, they cause a downward price spiral, leading to other investor holdings loss of value.
The Nobo Finance (NOBF) difference
No Boundaries Finance, also known as Nobo Finance (NOBF), has mechanisms that reward rather than punish community token holders. Nobo Finance is a community governed reflective token concept that alleviates most yield loss shortcomings of the current DeFi protocols.
NOBF token holders earn incentive rewards when they hold rather than sell their crypto assets. Nobo Finance's reflection concept incentivizes long time HODLers with returns in proportion to their token holding percentages.
To mitigate the effects of loss of value and negative sell pressure, NOBF token holders pay a penalty tax on each transaction. A fraction of this fee is distributed to holders, while the other goes to the protocol's liquidity pools.
Consequently, NOBF holders do not need to stake their tokens to earn rewards. Instead, they receive a yield on their holdings whenever a transaction occurs via the smart contract mechanism. But that is not all there is to reflective tokens.
Their holders not only earn more in their hold and earn protocols but could generate more yields by depositing them in popular DeFi passive income generation applications. Besides double yield generation, NOBF has a stable price floor and will not lose its value in bear markets.
Nobo Finance is built on the Binance Smart Chain Network. To this end, it is Ethereum Virtual Machine compatible but is fast, scalable and has lower transaction fee charges. The roadmap also includes an upcoming Nobo powered Decentralized Exchange (DEX) and, longer term, a Centralized Exchange (CEX) to rival the industry’s big hitters.
NOBF’s total supply is 300 trillion tokens but 50% has already been burned. The transaction penalty or tax rate is 11%. Broken down, 3% of the tax rate is NOBF holders' reflection rewards while the remainder will enhance the liquidity pool and marketing efforts.
Nobo Finance’s presale is scheduled on Pinksale for 26 December 2021. The token’s smart contract is fully audited by the InterFi Network and the blockchain specialist has given the project's source code a low-risk severity rating. Additionally, the project developers have passed the KYC process. For more information, you can find Nobo Finance on their professionally managed Telegram chat, Youtube, Twitter, or their website, https://nobof.co.
Disclaimer
The views and opinions expressed in this article are solely those of the authors and do not reflect the views of Bitcoin Insider. Every investment and trading move involves risk - this is especially true for cryptocurrencies given their volatility. We strongly advise our readers to conduct their own research when making a decision.