So, you are interested in learning more about DeFi platforms? In my opinion, that is a very wise decision. DeFi platforms offer many of the same financial products as the traditional banking system but are open, transparent, and permissionless as opposed to the closed traditional financial systems.
I believe with the introduction of decentralized finance platforms people now have another choice other than being stuck dealing with the traditional banking system. They also offer hope for the estimated 1.7 billion adults worldwide that for various reasons are excluded from the global financial system
DeFi platforms offer Staking of coins or tokens which is basically the same as depositing money into a savings account. On some platforms, you can also loan out your crypto to earn even more interest. Other platforms offer yield farming where you deposit your crypto into pools that provide liquidity to the platform. Basically, you are loaning your crypto to the platform and in return, you are paid interest.
Okay, now on to my list of the best DeFi platforms. Choosing the best DeFi platforms is somewhat subjective so my list will be based on my experience interacting with them.
Here are my top four DeFi platforms.
1. Raydium - Raydium is a decentralized cryptocurrency exchange (DEX), it offers 52 coins and 104 trading pairs. The platform also offers staking and yield farming. Raydium is built on the Solana blockchain which is very fast and efficient. Pros: Low Fees. Cons: Limited selection.
2. Uniswap - Uniswap is another decentralized cryptocurrency exchange (DEX), it offers 437 coins and 944 trading pairs. Uniswap is built on the Ethereum blockchain. Besides token swapping, Uniswap also offers Yield farming pools. Pros: Large selection. Cons: High Ethereum transaction fees.
3. Sushiswap - Sushiswap is a decentralized cryptocurrency exchange (DEX), it offers 445 coins and 546 trading pairs, Sushiswap offers trading, Yield farming, Staking, lending, and borrowing of cryptocurrencies. Sushiswap runs on the Ethereum blockchain. Pros: Good selection of coins and services. Cons: High Ethereum transaction fees.
4. PancakeSwap - PancakeSwap is a decentralized cryptocurrency exchange (DEX), it offers a huge selection of 1618 coins and 10143 trading pairs. Besides trading, there is also staking, yield farming, a lottery, and much more. PancakeSwap runs on Binance's smart blockchain. Pros: Huge selection of coins and services. Cons: There have been many issues with the Binance Smart Chain.
I hope you found this article both interesting and informative.
Until the next article. Take Care!
Donald Hancock
info@bigskycrypto.com