The centralized decentralized finance (DeFi) application will support over six altcoins and allow holders to earn a yield on their collateral in a safe manner.
DeFi for all
Yield farmers can now log on to Crypto.com and stake collateral across several farms to earn interest and support the DeFi movement, the firm said in an announcement today.
“We’re excited to announce the launch of DeFi Earn in the Crypto.com DeFi Wallet App! Users can now grow their portfolio using our new decentralized finance offering, and earn passive income without losing control of their crypto,” Crypto.com said.
The DeFi market has grown by leaps and bounds in 2020. It started the year as a niche sector — and arguably as the first real-world working crypto use case — and has since bolstered to a multibillion-dollar industry featuring cutting-edge projects and crypto use cases.
— Crypto.com (@cryptocom) December 16, 2020
But DeFi protocols have been somewhat difficult to use for newcomers to the space. They typically involve setting up a wallet, figuring out Gas fees, supply liquidity, transferring LP tokens to other protocols, staking those, and then finally figuring out how to make a profit in this entire process.
A CeDeFi show
Firms like Crypto.com are bridging that gap. The DeFi Earn allows users to access such applications in a simple, safe manner minus the associated hassles.
Users can access the feature via the ‘ Earn’ tab, and start accruing interest instantly upon depositing their tokens and receiving on-chain confirmation. There is no minimum term, and users can withdraw their deposit with the accrued interest at any time. For the convenience, however, Crypto.com charges a 0.5% service fee on the corresponding earnings for each withdrawal.
DeFi Earn users would get the best market yields via the application, the firm said:
“Users are able to receive the best return because their tokens are deposited to the protocol with the highest APY at the time of the deposit.”
At this stage, the integration with the Compound lending pool gives users easy access to nine DeFi tokens: BAT, COMP, DAI, ETH, UNI, USDC, USDT, WBTC, and ZRX—with more to come.
Disclaimer: Crypto.com is an advertising partner for CryptoSlate.