INTRODUCTION OF DEFI 2.0
Hey there ‼! Have you heard about DeFi 2.0 ?
Defi 2.0 is a significant and necessary step toward realizing the full potential of decentralized finance and transforming business ecosystems. It provides a solution to many of the issues that decentralized projects face over time.
But to better grasp this fact, you would need to have some understanding about what DeFi is so let’s dive in.
Decentralized finance, or DeFi, is an ecosystem of financial applications built with blockchain technology and without the involvement of banks. The traditional system of finance is limited by borders, old technology and systems. DeFi removes those limitations with blockchain technology which is global and decentralized without the need for middlemen.
DeFi provides the following qualities; users have control over their own assets and data without need for intermediaries, everyone can access the information provided in transactions, the code for these applications are open for anyone to inspect so it’s totally transparent, and it’s fully decentralized and almost impossible to censor.
Regardless of the fact that the DeFi field is significantly expanding, users encounter obstacles to wider application of decentralized finance. Most DeFi projects are now related to token issuance, with the goal of increasing token minting. In terms of cryptocurrency distribution or community management, these projects haven’t brought any innovations to the industry.
Companies started by constructing mining infrastructure, but it quickly became unviable. Users have no influence over how the community is run. Because of the lack of oversight, most miners prioritize high-reward coins.
DeFi 2.0 and KeplerSwap
By making DeFi more available to a larger audience, modern platforms are aiming to alleviate this issue. That’s where DeFi 2.0 and KeplerSwap come in. The Kepler Technical Team is working to solve this issue by creating DeFi 2.0, a long-term cross-chain decentralized financial system. DeFi 2.0’s goal is to connect all community members who can supply liquidity.
It accomplishes this by beginning with liquidity incentives and then tying the incentives to future user transactions. Its long-term goal is to provide a formalized user interface as well as a decentralized financial framework. DeFi 2.0 is a cutting-edge financial governance innovation that has shattered the ice. By incorporating this technological breakthrough, technologists and influencers can connect into this growing greenfield project for infinite innovative DeFi project ideas.
In conclusion, DeFi 2.0 will be a substantial improvement over DeFi 1.0. It will shift the emphasis from simply extracting mining profits to establishing a sustainable platform for long-term liquidity contribution by encouraging user participation.