Which DeFi Cryptos Are the Best today?

What DeFi Crypto is the Best in 2024?

When selecting the best DeFi Crypto to invest in 2023, we considered essential metrics such as:

Remember that some of the most undervalued cryptos have the most potential for future growth. With this in mind, here are the seven best DeFi coins to consider.

1. DeFi Coin

Most analysts agree that DeFi Coin (DEFC) is the best DeFi crypto in the market. As the native token in the DeFi Swap exchange, users can easily stake and exchange various DeFi tokens.

The DEFC token became available at the beginning of January 2023. Since then, the price rose exponentially like the 500% value hike from $0.1 to $0.564 experienced on 5th May.

Currently, the DEFC token often trades from $0.12 and above, which is higher than the lowest point of $0.09467.

Ecosystem Development Plans

When planning for the future, the DeFi Swap ecosystem aims to distribute educational content via technical analysis charts and webinars. These features will be available later in the year.

What Issues Does Defi Coin Solve?

DeFi Swap ensures long-term liquidity and promotes investment via various strategies. For instance, you can use the static rewards process to earn DEFC tokens as rewards.

Each time you swap or sell DeFi coin holdings, there’s a 10% tax levy on the transaction. 50% of this tax amount goes to the current token holders based on proportion.

The other 50% goes into DeFi swap’s liquidity pools to facilitate P2P transactions. If there's a large volume of DEFC tokens, the tax will cushion the token from volatile levels and downward pressure.

The Financial Motivation: Reducing Total Supply through Token Burning

DeFi Coin creators implemented a manual strategy to burn tokens. The system determines the time and amount of tokens to burn based on current market conditions.

This ensures an increase in price and demand for DEFC long-term.

2. Lucky Block

Lucky Block coin (LBLOCK) offers a prize draw and play-to-earn platform using blockchain protocols. It functions on the Binance Smart Chain (BSC) through smart contracts to ensure transparency and fairness on the global prize draw platform.

The CEO behind the project, Scott Ryder from London, promises a bright future for blockchain gambling. On every sale, 12% of the tax ensures short-term liquidity and long-term holding among the users.

4% of the tax goes into liquidity pools, and 1% of the tokens get burned to ensure increasing demand. 3% of the tax goes back into LBLOCK's Gaming Royalty Fund and NFT to support the incorporation plans.

Ecosystem Development Plans

Lucky Block leverages decentralized technology to ensure fairness and transparency in the gaming sector. LBLOCK investors can generate passive income and buy lottery tickets on the BEP-2 token LBLOCK and the entire Binance Smart Chain.

What Issues is LBLOCK Trying to Address?

There are various issues with the current gambling and lottery environment. Physical systems have weak points that allow rigging, while online lotteries have speed, liquidity, and security issues.

These challenges lead to a poor user experience with a significant time difference between winning and the payout. There's also no record of the person who bought a particular ticket.

Lucky Block can solve all these challenges. For instance, transparency curbs issues of result tampering since Lucky Block's smart contracts need a review from a third party before any changes take effect.

The Financial Motivation

Lucky Block ensures instant payouts, unlike the centralized competitors. LBLOCK offers larger prizes and more funds for technological innovation by reducing the lottery costs. LBLOCK accommodates multiple draws daily and has higher chances of winning at lower costs.

3. Uniswap

Uniswap has the fourth-largest market cap, with a value of about $3.678bn as of 11th May this year. It's a decentralized finance protocol that’s vital in the exchange of cryptocurrencies. Users can swap or trade tokens peer-to-peer without a centralized party.

Uniswap allows users to buy cryptos and profit from liquidity directly from their crypto wallets. The depositor fully controls their private keys and comes with external wallets.

Hayden Adams was behind launching the first version of Uniswap’s currency on 2nd November 2018. It gained significant traction, which led to an initial seed investment that funded the second version, Uniswap V2. The new crypto token, UNI, followed shortly in September 2020.

Initially, the first UNI coins had a value of about $3.44, which rose to $3.67 by 30th December 2020 and $21.24 by 6th January 2023.

What Issues is UNI Trying to Address?

Uniswap’s protocol has two distinctive smart contracts; The factory contract and the exchange contract. The factory contracts add new tokens, while exchange contracts facilitate the real swaps or trades.

Uniswap’s automated market maker (AMM) model determines the price of tokens depending on various aspects such as current market conditions, demand, and volume.

Ecosystem Development Plans

The Uniswap V3 launched in January 2023 offers concentrated liquidity. The providers can distribute liquidity within a specific price range, eliminating the need to invest significant capital.

The Financial Motivation

Uniswap’s future goal is to distribute 1 billion UNI within four years. 60% of the UNI will go to the community, 21.5% to Uniswap employees, and 18.5% to advisors and investors.

Regarding market capitalization, UNI climbed to the 10th largest cryptocurrency, peaking at a value of more than $44.

4. Decentraland

Decentraland is a metaverse platform that exists on the Ethereum blockchain. This virtual reality game world accommodates business people and content creators.

MANA is the native digital token that allows the purchase of virtual plots of land, services, and goods in Decentraland.

Decentraland consists of 90,601 virtual parcels of LAND, measuring 16 square meters. You can buy, trade, and invest in virtual real estate for development.

Esteban Ordano and Ariel Meilich co-founded Decentraland, launching it in 2017 and making it available to the public in 2020.

Each land has specific coordinates, represented by a non-fungible token (NFT). MANA holders can suggest and vote for the types of content, policy updates, and the details of LAND auctions.

Although each land parcel is an NFT, you can sell the land and conduct Peer-to-Peer transactions.

What Issues is Decentraland Trying to Address?

Virtual real estate and various in-game items are available on the open marketplace. Decentraland aims to resolve common issues such as:

- Security

The users who own the virtual plots of LAND have complete ownership. The blockchain network they exist on ensures security and protection.

- Rarity Verification

Decentraland utilizes the decentralized digital ledger to store the specific details of each plot of LAND. These details include the ownership history and unique identifiers to ensure proof of concept.

- Interoperability

As a decentralized platform, it’s possible to develop various gaming assets to ensure they function in different gaming concepts. For instance, if assets like weapons and avatars are on the identical blockchain, they are accessible via different gaming metaverses on the blockchain.

- Transparency

Decentraland’s digital ledger observes and registers all NFT player transactions on the platform. All involved parties can access these details to ensure transparency.

- Liquidity

Every player on the platform can choose to liquidate in-game assets at any time. They can trade them on the forum or other secondary marketplaces.

Ecosystem Development Plans

Decentraland aims to modify the dynamics between social network operators and users by creating an open, decentralized digital economy.

Decentraland will also create more chances to earn NFTs and develop engaging content in challenges and quests.

The Financial Motivation

Future developments will ensure bookmarking locations and instant teleportation to popular places. Combined with a more efficient native world explorer, the advanced gameplay will promote a more extensive global user community.

5. AVAX

Avalanche is perhaps the fastest protocol on a smart contracts platform in the blockchain sector. It's a product of Ava Labs, released in 2020, followed by the native token, AVAX, later that year.

Avalanche challenges Ethereum by creating its DeFi ecosystem and various integrated Ethereum-based DeFi projects.

What Issues Does Avalanche Resolve?

Avalanche addresses significant issues such as:

- Scalability

Avalanche's design focuses on scalability with sub-second transaction times that outshine legends such as VISA and PayPal.

This speed enhancement address the limitations of Ethereum in the number is TPS possible.

- Low fees

Avalanche beats Ethereum in the affordability of fees. The fees are essential in blockchain creation, asset minting and creation, and staking. These fees later get burned to reduce the number of existing AVAX permanently.

- Interoperability

Avalanche ensures interoperability by ensuring effective data sharing between various platforms and different forms of cryptocurrency.

Ecosystem Development Plans

Current Avalanche upgrades in six phases aim to enhance the user experience. The first phases focus on bridge developments and the Core mobile wallet that natively supports subnets.

Avalanche also aims to ensure on-chain governance that allows users to vote on network changes and upgrade decisions.

The Financial Motivation

Avalanche can process over 6,400 transactions per second (TPS), compared to Ethereum’s 15 transactions. It offers some of the cheapest instant financial transactions.

6. Yearn Finance

Yearn Finance mainly focuses on lending out Peer-to-Peer loans without the need for banks. It forms the link between lenders and borrowers, facilitating transactions via smart contract technology.

A South African businessman and independent software developer, Andre Cronje, created Yearn Finance in February 2020.

The native digital token, YFI, exists within the Yearn Finance ecosystem. You can earn YFI tokens through Yield Farming, where you lock your crypto assets on the Yearn Finance blockchain using DeFi protocols.

Yearn Finance allows you to borrow capital without the credit check procedures. Investors with idle cryptocurrency can earn attractive returns by funding loans as investors.

What Issues Does Avalanche Resolve?

Yearn Finance is community-governed, allowing the inventors to determine the future of YFI. It promotes transparency by giving everyone an equal starting point.

Token holders can vote on the regulations, and every proposal must have more than 50% approval for it to pass.

- Token as Governance

YFI token uses a governance system known as the constrained delegation that gives holders control and discrete governance powers. The YFI holders distribute their governance powers to individual self-governing groups such as yTeams and Multisig.

YFI token exceeded Bitcoin’s value in January 2023, hitting an all-time high of $93,000. Due to high demand and limited tokens, there's always a high value.

7. Cosmos

Cosmos is a blockchain protocol that allows interoperability across blockchains and platforms using open-source tools. It doesn't rely on its network but instead ensures an ecosystem where networks can use programs to exchange assets and data.

A Swiss non-profit organization, the Interchain Foundation (ICF), supported, developed, and launched Cosmos in 2017.

Cosmos’ native cryptocurrency, ATOM, deploys the proof of ownership protocol, the Cosmos Hub. Every zone contains sectors that link to the centers within the network, but the site remains decentralized.

During a transaction, the central Hub verifies and ensures compatibility across chains. This provides the value and data transfer of the crypto assets. Every chain can select its software stack and system to avoid disruption by other chains.

What Problems Does Cosmos (ATOM) Solve?

The primary purpose of Cosmos is to address the lack of interoperability in the market. Blockchains operate independently, which hinders essential developments.

Cosmos allows various blockchains to coexist while maintaining individual specialized use cases. Developers can leverage the capabilities of multiple platforms to enhance their usability.

Ecosystem Development Plans

The current Interchain Security under development will enable Cosmos chains to lease each other security to earn rewards.

Delegators and validators can stake ATOM on the Hub to earn rewards from many chains in various tokens.

Interchain Accounts will permit ecosystem chains to control accounts securely on different chains instead of transferring tokens between chains.

The Financial Motivation

ATOM currently ranks as the 30th largest cryptocurrency in the industry, with a market cap of about $1.94 billion.

Where Can I Buy DeFi Tokens?

Binance Review

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Various cryptocurrency exchanges have different strengths and weaknesses. The best overall crypto exchange platform in the industry is Binance.

Binance has the most prominent cryptocurrency trading volume due to advantages such as the attractive maximum maker/taker fee of 0.1%. As your trading volume increases, the cost keeps dropping.

Binance also provides various discounts when using the proprietary cryptocurrency (BNB) to purchase and sell other coins.

Most of the exchange's cryptocurrencies are available in USD, cutting the conversion fees you'd incur. You'll also have access to various order types, such as stop-limit orders, market orders, and limit orders.

Binance allows trading with more than 300 cryptocurrencies and various trading pairs for DeFi Tokens. You can use the elaborate market dashboards and margin trading.