DEFI

HypaSwap Finance Coming to the Markets this August: An Introduction

Essentials: What is Decentralized Finance (DeFi)

Decentralized finance, sometimes abbreviated as “DeFi,” refers to an ecosystem for financial transactions built on blockchain technology. 

DeFi removes the need for intermediaries by enabling the individual user to purchase and sell assets and financial services as forms of investment or financing. 

DeFi uses blockchain technology, which links a user to other users without needing a centralized server. Blockchain technology permits the safe transmission of data and assets.

“Smart Contracts,” which are computer programs that also employ blockchain technology, are designed to execute and govern transactions automatically when certain conditions are satisfied. Blockchains are employed to store and transmit digital assets and smart contracts to ensure that all parties adhere to the terms of the agreement.

DeFi is a relatively new phenomenon, and its potential and application will primarily be determined by the requirements of its users. By bridging the gap between supply and demand, distributed ledger technology (blockchain) ensures that financial transactions may take place in a safe, cheap, and fast manner, allowing individuals and enterprises to invest and receive funds without the need for intermediaries.

A Decentralized Liquidity Protocol – HypaSwap Finance

Individuals can now lend and borrow capital without going through the trouble or the unneeded hurdles of the traditional banking system. All of this is thanks to the implementation of DeFi and now, thanks to HypaSwap (HYPA) too.

HypaSwap is launching its presale this August and promises to facilitate transactions within DeFi.

It was developed on top of the Ethereum blockchain and functions as a decentralized non-custodial liquidity protocol. The protocol makes it possible for lenders and borrowers to trade assets by using a liquidity pool. The lenders participating in HypaSwap by loaning their assets to the platform, and as a result, they earn an interest rate on their locked asset. On the other hand, the borrowers can use the liquidity pool to borrow assets in exchange for collateral.

Because lending and borrowing are the primary focus of HypaSwap, the platform has developed a solid mechanism to make it possible to engage in these financial activities without running the danger of having funds stolen or being in default on loans.

The lenders are compensated with the interest rate in every scenario, and the borrowers are compelled to overcollateralize (overpay) the loan.

HypaSwap also devised a thorough framework for its Hypa-community members to actively engage with one another and also participate in extra-banking activities like staking and collateral swapping. Members are incentivized to stake a greater number of tokens to increase the returns on their investments and earn prizes for their engagement through active participation.

HypaSwap Finance promises to be a “risk-aware” protocol. The creators behind HypaSwap are aware of the various flaws in the system and have developed a plan to identify the potential threats and provide countermeasures for each of them to ensure the security of the HypaSwap Community.

What Does the Future Hold?

A Decentralized Autonomous Organization (DAO) made up of members of the HypaSwap community and the HypaSwap Genesis Team is slated to take over governance of the HypaSwap platform in the future. The community will be responsible for discussing and making choices, as well as putting those decisions into effect across all of the platforms.

The HypaSwap Finance platform will be under the community’s full control at all times.

HypaSwap is going to cover all of the deficiencies and risks that are linked with Compound and the other competitors by using an innovative approach that is both planned and proactive.

HypaSwap is also interested in giving back. Part of the native token – HYPA, will be stored in the HYPA Reserve and will be utilized by the HypaSwap community to power projects and development.

Furthermore, through the HypaSwap Community Grants Program, the ecosystem will contribute financial resources to a wide variety of community projects and developers, events, ideas, and other creative and innovative endeavors.

HypaSwap Finance has clarified its long-term purpose with a 6-phase development plan.

It will launch its presale this August and then boost the platform’s popularity with marketing and social media campaigns, product development, and token events. It will then focus on listing the HYPA Token on all the main DEX (Decentralised Exchanges) to give its users access to even greater advantages for holding and using the HYPA Token.

Disclosure: This is a sponsored press release. Please do your research before buying any cryptocurrency or investing in any service.

Image Source: kviztln/123RF

Traciwininger
Author: Traciwininger

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