DFBTC DeFi2.0
“DeFi has already emerged in 2019. 2019 can be defined as the first year of DeFi. The value of locked positions has doubled throughout the year, and this trend has continued in 2020. At present, the overall lock-up volume has exceeded 2 billion US dollars. As the imaginary boundaries of the combination of blockchain technology and finance continue to expand, the emergence of decentralized finance (referred to as “DeFi”) may bring some inspiration.
The full name of DeFi is Decentralized Finance, that is, “decentralized finance”, also known as “open finance”. At present, almost all DeFi projects are carried out on the blockchain of Ethereum.
Ethereum is a global open source platform for decentralized applications. On Ethereum, you can manage digital assets and run programs by writing code without geographical restrictions. The cryptocurrency it produces is called Ether (Ether, “ETH” for short).
DeFi is a series of financial applications developed based on an open decentralized platform, and the entire business process is an interactive action on the chain.
Compared with traditional finance, DeFi is more open and inclusive: first, DeFi does not need to rely on any centralized subject to provide credit intermediaries or endorsements; second, there are no access restrictions, that is, any networked person can enter; third, no third party can block any transaction, nor can it reverse any transaction.
DeFi and traditional finance are two things on different tracks and cannot be compared. Traditional finance serves the real economy and is the financing of capital. The process is accompanied by the transfer of risks, the allocation of resources, and the discovery of prices, and it deals with legal currency. DeFi has nothing to do with the real economy, and has nothing to do with fiat currencies. It is more about the cryptocurrency field.
Developed in 2020, DFBTC uses fully decentralized technology, minted with Bitcoin at a ratio of 1:10000. DFBTC enables users to invest in Bitcoin more safely and efficiently, resist the risk of huge fluctuations, increase returns to reduce risks, and at the same time provide better cross-chain services, build a DeFi ecosystem, and promote the growth of digital assets. DFBTC’s Defi model is undoubtedly a great tool to solve user trust. The DFBTC code is completely open source. From transaction initiation to the entire transaction to the account, it is carried out on the chain. The entire process chain can be checked, open and transparent, and cannot be tampered with.
DFBTC has achieved complete decentralization and cross-chain, compared with other cross-chains, such as wbtc, renbtc, hbtc, etc., all belong to centralized cross-chain.
DFBTC uses a ratio of 1:10,000 to pledge Bitcoin (each user’s standard value and control of Bitcoin does not change after cross-chain, and it is as safe to hold DFBTC), and cross-chain high-quality Bitcoin assets to other chains through the Defi underlying protocol The whole process is open, transparent and completely decentralized.
Staking can earn AOM and DFBTC by staking DFBTC.
DFBTC also has a Lending function. 40% of the node’s guaranteed funds enter the Lending pool, and any high-quality assets will be deposited and borrowed in the Lending pool.
Swap also designs a unique Token issuance mechanism, which can quickly expand to the entire DFBTC ecosystem, and can be exchanged for high-quality Tokens of the ETH network in DFBTC Swap.
AOM, as the community governance token of DFBTC, has a total issuance of 2.1 billion. According to the model design, the earlier you participate in the AOM breeding pool, the easier it is to get more AOM coins; the following is the distribution ratio of AOM:
11.5% Development Labs
9.5% Foundation
14% Investors
1% Liquidity Mining
64% Staking mining
DFBTC will enable cross-chain and more underlying protocols in the future.
Pools LP mining has now started, similar to the operation of AMM-type centralized exchange DEX. The principle of AMM’s automatic market maker is to create two TOKEN exchange pools, and adjust the number of TOKEN in the two pools according to price fluctuations. The more coins in the pool, the better the transaction depth, which can also attract more users. In return, DEXs will also distribute fees to users who provide liquidity. In this way, DEX obtains traffic as a platform, users who provide liquidity can get a share of the handling fee, and traders who use DEX enjoy faster and more convenient services, achieving a win-win situation for the three parties. This is also the underlying logic of the current DEX project. This model is actually a manifestation of the spirit of decentralization and self-sufficiency.
