People’s expenses for credit cards, clothing, education, health care and house rent are increasing more and more due to high inflation and people want to get passive income to avoid it and save. Billions of people around the world struggle financially because they are unable to qualify for loans or purchase financial assets through traditional financial institutions. Because they can’t get loans, they can’t buy any real estate or they can’t have investments that will enable them to live comfortably after retirement. Decentralized Finance (DeFi) are one of the promising investment instruments with the most significant financial potential to overcome these problems. The fact that anyone in the world could easily send money to someone on the other side of the world was the beginning of the cryptocurrency revolution.
DeFi is a financial system that operates without centralized intermediaries such as stock markets or brokerage houses. It is considered one of the fastest growing areas among blockchain and decentralized networks.
DeFi has its advantages over traditional finance. Anyone can access a DeFi app’s website and use DeFi products through any wallet. Most DeFi apps do not require users to provide any personal information or to register. Instead of hard-to-receive loans issued by institutions, funds are provided without intermediaries and through a pool of other investors, thanks to the network of defiances managed through smart contracts. People who want to protect themselves from inflation and invest can earn interest income unhindered thanks to them.
These advantages of Defi have recently started to attract the attention of mainstream financial institutions. After the spread of cryptocurrencies in the world, large financial institutions started to adopt or are researching DeFi’s. In this case, it stands as a sign that DeFi will compete with traditional finance.
Decentralized finance has many types of investments (farming, tokenized bonds, stablecoin borrowings). The fact that there are many DeFi projects with these features in the Moonriver ecosystem provides great convenience to both investors and developers.
DeFi on Moonriver
Moonriver is the first EVM compatible parachain in Kusama. Many projects choose Moonriver to take advantage of the multi-chain benefits.
Most DeFi platforms created in recent years are built on Ethereum, but the features such as scalability, efficiency and security brought by the kusama transfer chain are attracting the attention of many Defi projects in ethereum. Moonriver basically allows data transfer between multiple chains.
Thanks to Moonriver, projects are joining the rapidly growing Kusama ecosystem and already a major Ethereum ecosystem.
While working on one network, wanting to work on another network is a huge challenge and a lot of workload for developers, Moonriver eliminates this challenge completely. It’s like telling them, “Come to me and everything will be easy for you now.”
For example, you have a boat. You want to anchor your boat in one port in the summer and another in the winter, but because you are a foreigner there, the local people will not want you. The best way to overcome this is to get a friend and mentor from there. This is exactly why Moonriver is so important to Defi developers. Also, Moonriver believes in the power of community.
They have a strong community and from day one, they have great community management. If you want to be a leader somewhere, you can’t be without support from your community.
Remember, with the Community you will be permanent and legendary and Moonriver has a very strong community.
