What DeFi DApps would you like to see in the RiveX ecosystem?
An introduction into the world of decentralized financial applications and the potential of the RiveX ecosystem
What is a DApp?
DApp is an abbreviation of decentralized application, it is an app that is built on blockchain and has its backend code running on a decentralized network. DApps are generally Open Source meaning they are governed by autonomy and changes have to be decided by the consensus of the majority of its users. As an expansion to our previously released Decentralized Finance article, let’s take a look at some of the current dApps, what they aim to achieve and how they are shaping the future of the DeFi space.
Lending and Borrowing
Decentralized lending apps enable anyone to take crypto loans and earn interest on stable coins and other cryptocurrencies without a middleman. Some of the top crypto loan platforms include:
SALT Lending — A blockchain-based loan platform that allows you to get cash deposited directly into your bank account. SALT currently has over 64,000 users and over $50M in loans.
Nexo — “The World’s First Instant Crypto-backed Loans”. Nexo allows users to take loans from $1,000 to $2M. The platform currently has over $1B in instant loan requests.
Bankera — With the lowest minimum loans in the market of just €25 and a maximum of €1M, Bankera offers global crypto-backed loans without any hidden fees. Loans can be withdrawn in Euros or some of the most popular cryptocurrencies such as BTC, USDT, etc.
AAVE — An Open Source, Non-custodial protocol to earn interest on deposits and borrow assets. Aave provides a bridge between Ethereum and Bitcoin allowing users to use Bitcoin holdings as collateral and borrow funds instead of selling their assets.
Oasis — Running on the Ethereum blockchain, Oasis Borrow allows you to lock your tokens as collateral to generate Dai, a decentralized stable coin soft-pegged to 1 USD. Oasis Save allows you to earn savings on your Dai by locking it into Oasis Save, which is automatic and non-custodial.
DeFi margin trading refers to using borrowed funds from a broker to trade a financial asset which forms the collateral for the loan from the broker.
- Margin DDEX — An advanced decentralized margin trading exchange with up to 5x leverage, users can create leveraged margin positions with Bitcoin and Ethereum and earn interest at the same time through decentralized lending pools.
- NUO — An open-source project which enables trading using smart contracts with over 30 trading pairs across 4 markets with up to 3x leverage. Users can also deposit assets and earn interest.
- dYdX — a trading platform built with open-source protocols which enables decentralized margin trading, with dYdX you can Trade, Borrow and Lend out your assets to earn interest over time.
- Fulcrum — a platform that allows tokenized margin lending and trading, enabling users to lend assets for interest or enter short/leveraged positions. Fulcrum doesn’t require KYC and allows you to control your own assets being a non-custodial platform.
- Liquid Long — a tool that allows you to turn your Ethereum assets into a leveraged position against USD in a single transaction.
A decentralized exchange is a cryptocurrency exchange that operates in a completely decentralized manner, with no central authority.
- IDEX — Being one of the most popular DEXes, IDEX offers real-time on-chain trading.
- 0x Protocol and Relayers — Built on top of Ethereum, 0x Protocol allows for trading of ERC-20 tokens or WETH (Wrapped ETH). 0x uses centralized databases called Relayers to help improve Ethereum scaling issues, allowing for faster matching orders for example. Some DEXes that are built on 0x include Radar Relay, UDEX, LedgerDEX, DDEX, Paradex, ERC DEX, and a few others.
- Bisq — An open-source peer-to-peer desktop application built and sustained by developers all around the world that allows you to trade cryptocurrencies.
- Airswap Protocol — Similar to 0x, Airswap is a peer-to-peer platform that allows trading on Ethereum with no trade fees or KYC requirements. Instead of Relayers, Airswap uses a lightweight peer discovery engine to speed things up.
- Bancor — A unique model that doesn’t require a second party to execute trades, Bancor allows for trading of ERC-20 tokens. Users can exchange ERC-20s for BNT token which can then be exchanged for other ERC-20 tokens.
DeFi Alternate Savings are the crypto alternative to traditional fiat savings accounts, putting you back in control of your money. These DApps allow you to earn interest on your cryptocurrencies as well as lure in non-crypto with a simplified user experience.
- PoolTogether — A no-loss, audited savings game that is powered by blockchain technology. PoolTogether allows users to enter into a pool using Dai, with prizes funded by interest earned.
- Gossamer — Built on Ethereum, Gossamer allows you to start earning interest on your crypto with an easy to use platform. Earn 7–10% APY by safely lending out your crypto to others.
- Outlet — A high yield savings account alternative with zero upfront costs, Outlet has a variable interest rate allowing you to earn up to 100x the average of a traditional fiat savings account.
- Dharma — An alternative interface aiming to simplify the lending experience with advertised interest rates of up to 11.2% on your crypto savings account.
- Linen App — Linen provides a non-custodial wallet that allows you to link directly to your U.S. bank account to supply digital dollars (USDC) to the compound liquidity pool on Ethereum.
Asset Management Tools
Safeguarding your cryptocurrency assets is important as this is your decentralized bank account. Let’s take a look at some of the wallets, apps, and dashboards for managing your assets.
- Exodus — A really well designed, intuitive desktop and mobile wallet with support for 100+ cryptocurrency assets, Exodus allows users to exchange digital assets directly from within the wallet. Exodus also has support for Trezor hardware wallet for added security.
- Coinbase wallet — A mobile crypto wallet supporting many crypto assets as well as ERC-20 and ERC-721 collectible tokens. Coinbase also allows access to Web 3 decentralized applications powered by Ethereum.
- DeFi Saver — An asset management dashboard for decentralized finance protocols, including MakerDAO CDPs as well as Compound dYdX and Fulcrum.
- Dexwallet — A multi-currency mobile wallet that supports Ethereum, xDai and POA with an interface to Ethereum DeFi products.
- Eidoo — With access to a full range of features and fully compliant financial services that are safe and easy to use via the app, Eidoo is a non-custodial wallet, hybrid exchange, and platform to participate in and launch token sales.
Proof of Stake uses validators who create or vote on blocks added to the blockchain network, earning rewards in return. Staking pools and staking as a service allows users to support the operations of a blockchain network by locking or delegating their coins to earn a reward.
- StakeWithUs — A secure staking-as-a-service provider for high-quality proof of stake based projects such as Loom or Cosmos network.
- SparkPool — Supporting and maintaining network stability, SparkPool is a staking-as-a-service provider committed to discovering high-quality PoS blockchain projects and becoming a node operator.
- POS Bakerz — An infrastructure operator for PoS public blockchains, offering staking services to users.
- Stake Capital — A provider of highly available and secure blockchain validation services for most of the top PoS networks.
- Stake.fish — A staking platform allowing users to pool their assets together and earn interest.
Derivatives are contracts that derive their value from the performance of an underlying entity. This underlying entity can be an asset, index, or interest rate. Lets take a look at some of the DeFi Derivatives.
- Idle — Enabling tokenization and the best interest rates (~14.23% APR) in the Ethereum money market, Idle offers the best yield for the least amount of effort. Idle allows users to earn interest on their assets which can be withdrawn at any time.
- Synthetix — A protocol for trading synthetic assets on Ethereum such as crypto, commodities and Forex.
- Tokensets — An asset management platform with tokenized trading strategies facilitated by Set Protocol’s smart contract system.
- CHAI.money — Chai allows you to earn interest on Dai without having to lock your assets in the Maker Dai Savings Contract.
- Redeemable Dai — rDai allows users to invest their assets in an interest generating pool used for collateralized loans. Users can spend or transfer their assets at any time. You also have the ability to decide who benefits from the generated interest, such as yourself, a charity, a dApp or a community fund.
What DApps would you like to see built on RiveX? Got any good ideas for the future of DeFi? Join the discussion on our official Telegram group and let us know!