Lesser-Known DeFi Gems to Keep an Eye on In 2021
Decentralized finance is one of the best financial disruptions of the 21st century. The nascent sector has attracted millions of investors, with the total value locked in the platforms standing at $38.28 billion. Moreover, it is one of the biggest beneficiaries of the recent Bitcoin and Ethereum price surges.
Yield farming in itself stands as a lucrative passive income-earning opportunity with more developments within the DeFi space. Consequently, both old and new platforms explore ways to boost their protocols and keep the investors’ interest at a peak.
However, the complexity of DeFi and other manipulation issues make it hard for investors to invest. Also, there are over two hundred DeFi platforms, and while some of them have great rewards, others are barely surviving. So, what DeFi investments should you keep an eye out for in 2021? Keep reading to find out more.
Avalanche is a network helping in launching Defi apps and other financial assets. This platform aims to reach the global scale by providing opportunities for any investor to launch and trade any class of investment assets.
Avalanches native token is AVAX, designed to help perform multiple services in the network. Currently, the price of AVAX is $26.85.
Key attributes of the Avalanche network include high efficiency, speed, security scalability, and flexibility. Among other features vital to the Avalanche network include:
- Avalanche X-This is a moonshot accelerator designed to help Dapp developers in their daily hassle.
- Validators will attract their customized fees.
- Asset registry
- Community governance
- Athereum, which is an Eth fork based on the Avalanche network
Defi Yield Protocol
Defi Yield Protocol launched just a few months ago and has already seen much success. It’s an ETH smart contract-based platform with vast income-making opportunities.
In DYP, there is a staking option where a user can use some amount of LP tokens as collateral and receive rewards. Currently, there are four common staking pools in DYP including, DYP-ETH, DYP-USDT, DYP-USDC, DYP-WBTC. Over $63 million is locked in liquidity pools.
Among the features making DYP unique include;
- The anti-manipulation feature that protects all its market against manipulation
- Unique governance using the DYP governance token
- DYP earn vault
The DYP future promises more features like ETH mining pools, DYP Tools, DYP Lending, and many others.
Celsius is a crypto platform designed to provide financial and banking services to all crypto users. Using the Celsius network, investors can borrow, earn and pay for services using crypto assets.
When it comes to borrowing, the interest rates start from as low as 1% APR and the process is easy. Additionally, you can earn up to 17.78% when you transfer your coins to the Celsius network.
This platform has a native token, CEL, that helps in the services of the platform. At the time of writing, CEL was valued at $4.7. Other features owing the Celsius network include;
- The platform does not set any minimum balances.
- Has a fair reward sharing system, which distributes rewards every end of the week
- Users can withdraw from the network at any time.
DEXTools is a revolutionary DeFi platform designed with multiple tools for UniSwap. This platform has a token called DEXT with a total supply of 149,767,070 DEXT.
DEXT provides multiple subscription options ranging from 0-100 thousand DEXT. Among other best features provided for the DEXTools platform include;
- Pool explorer- This tool allows investors to search for pools, remove or pass on liquidity.
- Pair explorer- Investors using DEXTools will get the right pairs for investment using the pair explorer.
- BigSwap explorer- This tool helps in providing news about the latest BigSwaps in UniSwap.
- MultiSwap- This tool allows users in UniSwap to trade in multiple swaps on the same platform.
- Wallet info tool- Using the wallet info tool, an investor can search and compare different wallets.
Cosmos is a platform designed to solve crypto issues, including costs, speed, scalability, and environmental effect. This project reduces the complexity of blockchain technology and provides options for cross-blockchain interactions. Additionally, using the Cosmos network, it’s easy to build blockchains and ensure they remain efficient.
The native token in the Cosmos platform is ATOM, which costs $18.56 with a market cap of over $4 billion. The ATOM token is one that investors should watch due to its prospects.
The technology of Cosmos includes the following features;
- Tendermint Byzantine fault-tolerant and Cosmos SDK, a duo that enhances blockchain power
- IBC and peg zones allowing the cross-blockchain transfer of value
- Vertical and horizontal scalability enhancements technologies
The Falcon project is a DeFi platform launching with the promise of ultimate simplicity, privacy, convenience, and speed for its users. All the attributes are possible due to the FNC blockchain hub.
The native tokens in Falcon are FNT, used for daily transactions on the platform. Also, there are multiple opportunities to earn passive income, including;
- Falcon provides an ERC-1155 voucher option. This voucher can earn a user a dividend of up to 40%.
- Falcon platform liquidity provision option, which allows an investor to earn great weekly rewards.
- There is also a Falcon Swap-bot.
Unicrypt is a platform designed with multiple services in the Defi world, including yield farming and liquidity lockers. Moreover, the network by design helps upcoming Defi projects to plan and establish their networks through the launchpad.
Unicrypt has a dual token system using UNCX and UNCL tokens. UNCX is a network support deflationary token with governance rights. Unicrypt continuously burns UNCX fees to ensure the coin remains deflationary.
UNCL is used for yield farming, aiming to give the best APY for the users. This platform also is feature-rich, implanting some unique attributes including;
- UniSwap browser- This tool will help people identify the latest listing on Uniswap and take advantage of the earliest prices.
- Proof of liquidity- Users can lock up some token amount in their contract for a fixed period.
Special Mention – Yearn.Finance
Launched in February 2020, Yearn finance has made some of the most incredible DeFi strides. This platform was designed to make it easy to earn income in the DeFi world through automated systems that maximize incomes. It achieves that by maximizing the APYs of all crypto assets.
It launched with a token dubbed YFI, which has surged in price to almost 35 thousand and a market cap of 1 billion. Among the best features of the platform;
- Yearn.finance- moves funds across platforms like Aave, Compound, and DyDx
Many investors have found their way into the DeFi space, putting in loads of capital into the remunerative industry. Nonetheless, an increased emergence of different platforms requires an equal amount of caution.
In that case, investors find themselves scrutinizing various options to find the best fit, evaluating their investment options, and eventually, maximize their income. The seven platforms above are some of the DeFi platforms promising some of the best results in 2021.
DEXTools, for instance, has some of the tools so lacking in Uniswap; thus the thousands of UniSwap users will enjoy using these tools. DYP launched with unique features like anti-manipulation thus will be attracting a lot of investors soon. All the other platforms are the best options that all investors should watch in 2021.