As the decentralized finance (DeFi) industry continues to grow and expand, many newbies and experienced users still don’t understand the core drivers of the sector’s growth. It is also why mainstream finance still has a hold on the world. Project utility is rising and will create a foundation for growth in 2022 and beyond.
DeFi projects exist in virtually every sector of the finance world, and more. Use-cases have taken over as the world has fallen in love with web3 technologies and their various advantages. Here are a few projects that will rock 2022 and beyond.
Alkemi Network Sets Standard For Institutional DeFi
Alkemi Network, a compliant DeFi liquidity platform fit for institutions, has changed how liquid ecosystems work within the DeFi space.
Liquidity pools have been one mainstay of the DeFi space. So much so that projects have dotted the landscape with a good deal of liquidity-based concepts. Alkemi Network offers dual options. It has permissioned and permissionless liquidity pools that are governed by a single token. That is a first for the DeFi space.
KYC-liquidity pools allow institutions and professional traders to access the unique investment opportunities available in the nascent DeFi space while still remaining compliant to financial regulations, aka the best of both worlds. Compliant Institutional DeFi nullifies the notion presented by the centralized finance industry that DeFi liquidity projects can’t have trusted spaces.
Alkemi’s Earn dApp allows both retail and institutional investors to lend & borrow USDC, WBTC, ETH, & DAI – all with the peace of mind that comes with permissioned pools and institutional-grade reporting features.
ClubRare Ties NFTs to The Real World
ClubRare has shaken things up in the Non-Fungible Token (NFT) space by introducing physical items available for auction. Before now, NFTs only worked within the virtual space. By being the first physical goods marketplace backed by NFTs, ClubRare has found a new niche that changes the utility focus of NFT platforms.
On the ClubRare platform, handbags, watches, jewelry, art, food, and sneakers are all available for sale. Real-world value gets expressed via NFTs in the ClubRare space.
Creating virtual-only platforms is simple. Any developer can get things going and create a virtual NFT marketplace project. A physical goods NFT marketplace is a different animal. But, it is a niche that will make people beat paths to doorsteps.
Manta Network Takes DeFi Privacy to New Levels
Before now, DeFi privacy solutions needed hardware layers to work. The Manta Network took things to a whole new level and deploys zk-SNARK cryptographic technology to solve problems. Built off substrate, Manta ensures privacy for Polkadot Parachain auctions and gives users the sovereignty they want.
Privacy within the DeFi industry comes with many benefits. One of these is the prevention of hacking. Even if vulnerabilities exist within a project’s code, the hacker can’t do much damage until the code gets patched. User anonymity ensures that hackers and malicious individuals don’t have access to wallet addresses and transaction hashes, thus creating another layer of security within the web3 space.
It also creates a new paradigm for web3 users who don’t want pseudonymous transactions, which has its limitations, as proven by elliptical analysis and other methods. Complete privacy is vital, and the industry shall see more of Manta within the DeFi space.
Exotic Markets Enables Decentralized Wealth Management
Exotic Markets, a Solana-based DeFi wealth management solution, has given the web3 space a new paradigm for portfolio management tools. Exotic Markets has introduced an exotic assistant to help users develop the best DeFi investment strategies for their portfolios.
Using three basic operational principles for products, Exotic Markets came up with patterns that generate profits regardless of how the DeFi markets behave. Using risk tolerance, market view, and investment maturity, Exotic Markets guides users for profit optimization.
The team at Exotic Markets has taken this further by opening up its architecture to allow developers to deploy their projects with all kinds of advantages. The platform allows developers to create path-dependent products, single product offerings, and vehicles.
With innovations such as yield-generating stablecoins, Exotic Markets will continue to be at the forefront of making wealth creation tools available to everyone.
What Does 2022 and Beyond Hold For The DeFi Space?
As the DeFi space continues to grow and mature, humanity will see the rise of DeFi in different sectors of life. 2022 holds the potential to be the year that the DeFi industry will explode and lead the charge in the adoption of web3 technologies.
The world is shifting from web2.0 to web3.0. Even big tech wants a piece of the action, and these companies are trying to get a piece of the DeFi pie. The problem is that decentralization rules the web3 space, and centralized organizations can’t unbundle themselves into this state.
It puts the web3 industry at a strategic advantage and reduces the red tape that has stifled the innovation of centralized technologies. 2022 and beyond shall prove to be the highest growth phase of the industry yet.
New users shall onboard into the space, and that age of massive adoption of web3 technologies shall then happen. DeFi projects shall lead this new age.