How LocalTrade is transforming the DeFi sector

When DeFi, or decentralized finance, came to life, many contradictory opinions among the general public came with it. Some were happy and excited with this new and innovative type of service that eliminated traditional market intermediaries and provided and a transparent, clear, accessible ecosystem. In contrast, however, many others treat it with confusion and skepticism. The economic background for decentralized finance is already well established. It’s Ethereum-based and recorded $1.5 trillion in transactions in the last financial quarter, half the volume of VISA.

Decentralized finance draws a lot of attention from small institutions and huge conglomerates alike.

What is Decentralized Finance?

DeFi is based on 3 blockchain eras. Each of them wasn’t accepted by the public initially and met a lot of skepticism and criticism from them. Over time, however, the masses began to adopt it. The introduction of BTC helped bring forth the concept of blockchain to the masses and this was the first era. The second era came on the back of an Ethereum-based, censorship-resistant setup that had a different programming language. This was Solidity, Ethereum’s native programming language. Lastly, the third era began with 2017’s initial coin boom, when projects got investments and began working as DeFi platforms.

Decentralized finance protocols and systems adhere to being transparent and permissionless. These are some of the Ethereum-based network features that have been used to build most decentralized applications. Permissionless means that any individual globally can reach decentralized finance and take advantage of the opportunities it has to offer no matter the person’s country, age or gender. And this is regarding app developers and users alike.

Besides, any team or developer can build their apps on decentralized platforms without having to be afraid that authorities may cancel or gain access to them. Transparency stands for the basic nature of decentralized finance. Decentralized open-source platforms offer capital that’s always open for audit and that underlying code. Since all operations are conducted in a blockchain ecosystem, you can always see them and use them to help you build a business or for analysis/learning purposes.

How LocalTrade Solves Urgent DeFi Issues

Most players in the financial market still don’t consider decentralized finance as a promising and profitable environment for economic activity just yet. This is why DeFi still doesn’t receive wide recognition. However, the LocalTrade exchange platform is looking to change all that. Operating in the crypto ecosystem and connecting financial and cryptocurrency markets into one smart industry, this exchange provides financial products and general exchange services to traders globally.

LocalTrade has a decentralized platform and centralized exchange for investments dubbed the DeFi Lab. This is the place where traders and investors can go to join the decentralized finance world and use centralized exchange services.

The LocalTrade platform is looking to make decentralized finance services widely acceptable and accessible to anyone that wants to try their hand in this field. Because of the many opportunities on centralized platforms, users can reach decentralized services as well. And the process is way easier than if you had to start from the beginning. This means that anyone working with a tight budget can start investing and operate on DeFi via CEX.

This part is known as the DeFi Lab. It’s where you’ll find the DeFi wallet, which is a launchpad for yield farming and crowdfunding. This is what helps make the LocalTrade project so unique and it’s what allows it to unite so many different tools of decentralized and centralized platforms.

LocalTrade’s Decentralized Finance Tools

The DeFi Wallet on the LocalTrade platform is an easy-to-use and convenient mobile application that supports several different currencies. It offers privacy for your information and safety for your funds. How does it do this? Well, it ensures this enhanced protection by implementing biometric authentication, 2FA and full data encryption. Its interface is fairly straightforward and is one that’s relatively easy to handle.

The app allows users to exchange digital assets from different blockchain ecosystems, all in one centralized place. This is the first time a decentralized cryptocurrency wallet has been able to allow for cross-chain operations.

The DeFi lab on LocalTrade covers a wide array of investment tools. These tools are placed into different categories depending on how risky they are. These tools are available to all investors and traders depending on their level of experience and their needs.

LocalTrade’s Launchpad feature is designed for the already experienced trader or investor. It allows them to purchase a token at lower rates during IDO. This feature is also designed to offer decent exposure and support for young/startup cryptocurrency projects. All the projects and companies hosted by the DeFi Lab on LocalTrade pass audit and verification before coins offering can be launched on the platform. This helps protect customers from having to deal with fraudulent entities.

Yield farming is where DeFi protocol users generate additional profit for obtaining and providing loans, and for adding a bit more liquidity to DEXs (decentralized exchanges). The LTT (LocalTrade Token) is a BEP-20 crypto token. To opens users up to some earning opportunities. The Binance Smart Chain issues LTT. This token features governance and utility functions that all the entire LocalTrade platform to operate efficiently. Besides, LTT connects LocalTrade DeFi and CEX platforms.

Some of the earning opportunities include; rewarding current users for bringing in new users, getting farming benefits and adding more liquidity to liquidity pools.

The NeoBank app and LocalTrade VISA card allow users to turn fiat currency into cryptocurrency. The conversion into cryptocurrency happens in a few minutes or so, and the user can pay for products and services using cryptocurrency. The user’s cashback payments also come in the form of LocalTrade tokens. Additionally, you can use your card to withdraw money at any ATM.

DeFi and Crypto Market Now Getting Institutional Money

Decentralized finance becomes more and more profitable as the growth rate of Bitcoin and other cryptocurrencies continues to rise. Growing rates usually mean that more and more people are starting to invest in crypto. When cryptos’ value grows against the USD, many people want to cash in on such upward price movements.

To that end, traders and investors take stablecoin loans, turn them into crypto to increase revenue from quotations growth. In simpler terms, they trade using leverage. So, as demand for cryptocurrency loans continues to grow so with the rates continue to increase.

More corporations from the traditional finance space are trying their hand at decentralized finance. For instance, Dan Shulman, PayPal’s Chief Executive Officer recently announced that PayPal could integrate decentralized finance services into its ecosystem. In addition, Square, a payment system, wants to come up with a platform they can use to develop decentralized finance services, Jack Dorsey the company’s head announced.

The traditional financial system has now started to push new investors into the decentralized finance market, and the low rates both in the US and Europe are making them seek out more profitable instruments. And while some will look to the stock market for these, others may prefer to invest in crypto and get passive income via the growth of quotations and such.

Conclusion

The DeFi space is incredibly appealing as far as investments are concerned. From this point of view, you can say it isn’t a short-term bubble that has no future, even though a large number of the cryptocurrency investors out there still don’t use DeFi tools yet. LocalTrade’s developers are working throughout the day and night to try and ensure everyone has a chance to access decentralized finance services.