DeFiChain (DFI) Research

DeFiChain (DFI) Research Details

DeFiChain (DFI) DeFiChain

INTRODUCTION

DeFiChain is a decentralized blockchain platform dedicated to facilitating rapid, intelligent, and transparent decentralized financial services. Its intent is to fully integrate DeFi capabilities into the Bitcoin ecosystem.

The network uses a hybrid Proof of Stake / Proof of Work consensus algorithm, and it takes advantage of Bitcoin's security by anchoring to the Bitcoin blockchain (through Merkle root) every few blocks. Being non-Turing complete, DeFi transactions on DeFiChain flow rapidly and efficiently at low gas rates, minimizing the possibility of smart contract faults.


HISTORY AND FOUNDERS

All domain names and trademarks for DeFiChain (DFI) are owned by the DeFiChain Foundation. The organization is in charge of growing the ecosystem, forming new alliances, directing the creation of tools for partners, and managing DFI money.

Dr. Julian Hosp and U-Zyn Chua are the two major contributors who started the initiative. Hosp is a well-known and respected cryptocurrency expert with a global following. He also serves as the co-founder and CEO of Cake DeFi.

U-Zyn Chua, another Cake DeFi co-founder, is the company's chief technical officer (CTO) and a researcher. Chua is also the head engineer of Zynesis and a blockchain consultant to the Singapore government.


REASON TO BUILD THE PROJECT

DeFiChain sees the cryptocurrency business from a clear perspective: people should be able to manage their own funds. However, present systems are still a long way from offering financial services that are really within the hands of the people who use them. The goal of DeFiChain is to provide individuals (and, in the future, machines, and devices) with seamless access to decentralized financial services by providing complete DeFi capabilities to the Bitcoin ecosystem.

DeFiChain was specifically designed to facilitate financial services such as borrowing, lending, investing, saving, and anything else that a commercial bank can do. The distinction between DeFiChain and a banking system is that DeFiChain is decentralized



BASE OF PROJECT

·       Proof of Stake- DeFiChain utilizes a Proof-of-Stake (PoS) algorithm identical to the original Proof-of-Work (PoW) mining algorithm used by Bitcoin Core. While DeFiChain prefers PoS over PoW, it keeps the greatest technologies that have been tested and confirmed to have been created in the Bitcoin Core network.

·       Masternode to Stakes- Distributors must hold a specific quantity of DFI to run a master node, which was originally set at 20,000. DeFiChain master nodes engage inactive transaction authentication and block building. The bet amount is meant to decrease with the stability and maturity of the blockchain in order to foster increased decentralization.

·       Share Modification Tools-A share modification tool is a collection of random entropy sources. The future PoS kernel will be totally expected in the absence of a share modification tool.



USE CASE

The use case of DFI tokens are:

·       DFI is generally utilized as a fee for transactions (adding to liquidity pools, performing swaps on DEX).

·       DFI is used for governance and voting on chain development suggestions.

·       DFI is used to produce new tokens on DeFiChain (DCT) -any user may create new tokens for a cost of 100 DFI.

·       DFI is used to propose suggestions to the community.

·       DFI is used to pay fees for all transactions and smart contracts on DeFiChain, including fee payments for decentralized exchange transactions, token transfers, DeFi activities, DEX fees, ICX fees (cross-chain transfer costs), lending loan interest payments, and fees for future DeFitransactions such as futures and options.


MAJOR NEWS AND EVENTS

DATE

NEWS/EVENTS

IMPACT

01/12/2021

Transaction volumes surge on the network following the release of decentralized assets

+60% Increase

14/05/2021

Tesla has decided to stop accepting Bitcoin growing environmental concerns

-30% Decrease

04/05/2021

DeFiChain is creating millionaires by offering absurdly high staking and liquidity mining returns

+25% Increase

20/09/2020

DeFiChain declares DFI's Listing on Bitrue

+45% Increase


CONCLUSION

DeFi portrays itself as an interesting frontier for investors. Using the power of decentralized finance, investors and depositors will be able to manage their wealth, leverage it in new ways, and engage in a new system that changes how we think about money and investment.

DISCLAIMER

Crypto products and NFTs are unregulated and can be highly risky. There may be no regulatory recourse for any loss from such transactions. Crypto products are currently unregulated and subject to market risk. Please seek independent financial advice or do your own research before investing.