Hello traders. The topic of this video will be Defi cryptocurrencies, such as SUSHI, UNI, LINK, YFI, COMP. I will give a brief overview of each coin, tell you what they are and what goals they pursue. All these tokens appeared in the beginning or middle of 2020, they managed to make a lot of noise, rose high and fell down, and went up again. Let’s start!
SUSHI cryptocurrency was created by Uniswap to transfer users from the Uniswap exchange to SushiSwap. The trader needs to add liquidity (cash) to the pool, receiving SUSHI tokens as a reward. However, unlike the Uniswap exchange, on SushiSwap the user will continue to receive a certain amount of SUSHI even after the liquidity supply has ceased.
As DeFi electronic money, SUSHI has gained a lot of popularity. 5 days after the launch of the project (end of August 2020), its capitalization was $ 250,000.00. The advantage of Sushi is that the token attracts funds for the development of the platform from the community, and not from any organizations, and this complies with all the principles of decentralization. In the first days, the maximum price of the coin reached 10 USD, then the minimum followed – 0.472 USD.
UNI coin was also developed by Uniswap for the exchange of the same name and was released on September 16, 2020, after the release of SUSHI. This token was created in order to support the principles of governance in the Uniswap ecosystem. It is an automatic liquidity protocol for the exchange of coins based on ERC-20 and ETH itself. UNI makes it possible to trade efficiently and quickly without intermediaries.
According to many experts, UNI is capable of becoming a very valuable cryptocurrency in the near future. The project has already invested $ 370 million. The system is simple and transparent, however, unlike SUSHI, if the user stops supplying liquidity, he is left without reward. The minimum token price dropped to $ 1.75, and the maximum (January 25, 2020) reached $ 11.8 (Binance).
The YFI token (year.finance) is used to provide decentralized financial services in the DeFi space, such as interest rewards, trading, and lending. At the time of launch in the summer of 2020, the project has invested over $ 739,000,000. The purpose of the platform is to increase profit from user deposits. The main protocol year.finance automatically transfers depositors’ money among the credit pools with the highest yield – Aave, Dydx, Compound.
The emission of YFI is only 30,000 coins, without ICO and mining. To further stimulate users, the developers created a YFII fork with the emission of 40,000 tokens. At the start of YFI’s launch, its cost was $ 3,000, then the maximum price reached $ 43,966, which allowed this coin to become the most expensive cryptocurrency, more expensive than Bitcoin. Currently (January 25, 2020) YFI is trading in the $ 32,450 range. The prospects for this token are great, as it makes a great contribution to the development of other DeFi projects.
LINK is the electronic money of the protocol and company ChainLink. A centralized oracle for providing any external data through smart contracts. Allows you to create smart contracts with real information, whether it be any events or payments. LINK coin is based on ERC677 standard but can work on ERC20 standard as well. The token is intended for settlements with operators of nodes that provide smart contract data.
ChainLink has great prospects for the future. So the developers are already cooperating with SWIFT, one of the main providers of financial transactions, and this will provide the protocol with access to many world banks in the future. LINK token is one of the most volatile – its minimum price dropped to $ 0.0001, and the maximum on January 25, 2020, is $ 25.7.
COMP (Compound) a decentralized blockchain crypto for working with other electronic money, for a loan or investment. In this case, the interest for users is set automatically, depending on the current exchange rate, supply, and demand. The token is based on ERC20, its owners can propose changes to the platform or participate in voting to improve the protocol.
The Compound is one of the brightest representatives of the DeFi system, whose goal is to reduce the cost of transactions, reduce commissions on loans, and remove intermediaries in the form of banks. The protocol allows people without a bank account to take advantage of a loan or investment. The total emission of the COMP token is 10,000,000 units, almost half of them have already been distributed among the holders. The maximum price for COMP was 272 USD, the lowest price was 80 USD (Binance).
Video about Defi projects SUSHI, UNI, LINK, YFI, COMP is coming to an end. Many of them have great prospects for the near future and are suitable for daily trading, as they are very volatile. As for long-term investment in these projects, there is already a big risk here, because DeFi platforms are very young and unpredictable. That’s all until new videos on botcryptotrade.com