Decentralized finance (DeFi) is certainly the hot topic of 2020 and a field where most of the attention in the industry is focused on.
That’s not surprising. In a few short months, the total value locked in DeFi protocols has surged from about $500 million to over $11 billion, at the time of this writing, representing a staggering increase of more than 2000%.
And while a lot of the upcoming projects have turned out to be blatant scams and rug-pulls, there’s no doubt that DeFi is here to stay. In fact, many argue that it’s the future of crypto.
And while a lot of the projects are focusing on decentralized swaps of various cryptocurrencies, Waves.Exchange is doing something different.
What is Waves.Exchange?
Waves.Exchange is a cryptocurrency trading platform where users can buy, sell, stake, and lease a range of different coins and still retain complete control of their funds. Users can also interact with DeFi applications.
It offers an app designed with mass adoption in mind. It’s lightweight and easy to download. The interface is created in a way that resembles traditional online banking solutions, making it rather intuitive to use. Unlike some of the existing platforms, Waves.Exchange has a dedicated iOS and Android apps to provide mobility and enable its users to trade on the go.
Users retain control over their funds as they won’t leave their wallets and can’t be frozen. It also offers Ledger support, and users can integrate their own trading software using the APIs.
Marching in the DeFi Field
While all of the above might seem like what most exchanges offer, Waves is doing something differently.
The platform also offers decentralized Forex (DeFo) for stable crypto assets. Users can swap seven different stable cryptocurrency assets with 1:1 equality to their underlying fiat currencies. Unlike existing Forex exchanges, however, this service is available 24/7 as the crypto market never sleeps.
The exchange rate risks are the same for the fiat equivalents of the stablecoins, reducing the overall volatility risk substantially.
To make all of this possible, Waves’ DeFo is an interface for the Neutrino protocol that provides an option to swap stable assets against each other using a smart contract. This provides transparency, reliability, and, according to the official website, virtually unlimited liquidity available at a predetermined rate.
In a truly decentralized fashion, holders of the Neutrino System Base Token could vote and decide which stablecoins would be added into the decentralized forex protocol.
How Does it Work?
It’s pretty simple, all things considered. Instead of buying USD, users have to purchase Neutrino USD – a decentralized stablecoin that’s always equal to $1 backed by the WAVES cryptocurrency.
This can be then traded for other Neutrino-based stablecoins such as EURN, RUBN, CNYN, JPYN, UAHN, and NGNN.
Besides, users can buy USDN with a card and swap it for other stable assets. They can then stake these assets and receive an annual interest of up to 15%. Users can stake every new stablecoin mentioned above.
Waves.Exchange appears to be an interesting solution for cryptocurrency traders as it offers a reliable experience and an overly intuitive trading interface.
At the same time, through the launch of their Decentralized Forex platform, the team attempts to appeal to traditional forex traders looking to stay exposed to the markets regardless of regular working hours.
This looks like an interesting development which, when coupled with DeFi governance, could catch up to speed.
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