Last updated on August 30th, 2020 at 01:45 am
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DeFi Adoption: OKEx pioneers it’s adoption making the trading of DeFi Tokens among Institutional Investors easier.
The Space is steadily growing at a faster rate since 2020. The drive for decentralized finance is now moving to it’s fulfilment with its recent boom.
But then, there is a very long way to go with its adoption. The Space is still in what I will call the infant stage. We are seeing different unconfirmed projects with various names making volumes and commanding trading volumes.
One of the recent nightmare was a sudden decline in the market valuation of YAM Finance token market from $65 million dollar valuation to zero.
Read Also: Understanding What is DeFi and How It Works
The DeFi Boom in 2020
In Jan 2020, tokens locked in DeFi applications reached a cumulative value of more than $1 billion. Then in August, it recovered to over $6.5 billion after the crash in March.
Among most DeFi projects according to DeFi pulse is Maker Protocol, the market with the highest valuation among others capped at $1.4 billion market valuation.
The most recent one that made it to the top five is Curve Finance with a market valuation of around $984.5 million of locked DeFi tokens taking the third position among others.
OKEx was the first most liquid market to list DeFi tokens, Curve Finance. OKEx is one the most liquid market for trading these assets within the space.
Generally, the market capitalization for DeFi tokens is pegged at $11.2 Billion according to defimarketcap.io. Compound has the highest market capitalization with over $974 million.
No smart money can neglect the outstanding performance of the DeFi Space within a short period of time.
OKEx and Trading of DeFi Tokens Among Institutional Investors:
The DeFi boom has attracted Institutional Investors who mostly use the user-friendly trading platforms like OKEx for accessing these these assets.
We can also see the increase in adoption of Wrapped Coins, mostly especially Wrapped Bitcoins (BTC) within the Ethereum Blockchain.
Though of recent, the Ethereum Blockchain is faced with high gas fees on transactions which calls the need for an alternative chain for lesser fees.
OKChain powered by OKEx is at the fore-front of making this space investor friendly with an open chain for the building of DApps and minimal fees for processing transactions.
The native token of the OKChain is OKCoin which has performed well since it’s launch.
Recent survey by Fidelity Asset Management shows that 80% of the surveyed institutions are now investing in digital assets.
The rate is high compared to the number we have few years back when we have some investors tagging Bitcoin “an unreliable” investment option.
We are talking about the Central Bank of Nigeria who previously warned Nigerians to avoid investing in cryptocurrencies and Bitcoin but now are putting up regulations to make the ecosystem friendly.
OKEx is the most friendly ecosystem for institutional investors for the decentralized system of finance. Already, OKEx has listed most of the reliable top DeFi projects making sure it sieves the best from those ones making waves without competence.
Some major DeFi tokens listed includes:
- Maker (MKR)
- Curve and
- COMP etc
Moreover, with the push for a scalable Ethereum network for DeFi adoption, OKEx is among the first validators on the Topaz testnet, Ethereum’s testnet for Ethereum 2.0.
Another core DeFi feature is the customer-to-customer lending service on OKEx Trading platform allowing users to access funds peer-to-peer with the safest network.
At the fore-front of this space is OKEx platform providing users with secured services for adoption.