Best DeFi Platforms of 2022:
In recent years, the growth of DeFi or Decentralized Finance, decentralized finance in English, has been truly amazing, as it represents an irruption of new and interesting alternatives to traditional financial systems.
DeFi token development platforms are alternative trading platforms that offer cryptocurrency investors and holders a way to trade their currencies without the need for a central authority. If such an authority exists, we would not talk about DeFi but about CeFi, and this is the case, for example, with Coin base.
In this guide we are going to carefully review which are the best DeFi platforms of 2022, thus highlighting the characteristics that we must know before starting to work with these providers. We will also indicate through a detailed tutorial how to trade with a top-tier DeFi exchange.
Analysis of the best Defi platforms on the market
DeFi exchange platforms, although relatively new to the trading scene, have completely revolutionized the way many users and investors acquire their cryptocurrencies and/or generate returns from them.
In fact, far from the traditional short-term speculative purchase, more and more users are trying to invest in cryptocurrencies in the long term , for which it is essential to have options as attractive as those offered by DeFi. We will now explore the best DeFi exchanges on the market , looking at their fees, their particular characteristics and the selection of assets they offer us, among other aspects.
1. DeFi Swap – Probably the best DeFi on the market
Best defi swap exchanges
DeFi Swap is a community-driven decentralized exchange (DEX) that offers different services, including for example token swaps, staking, and also yield farming. The platform will be managed using DeFi Coin (DEFC), which acts as its native token. The DeFi Swap online portal can be accessed through the browser, which certainly makes it quick and easy to get started with this DeFi platform.
On a technical level, to say that the platform is built on top of the Binance Smart Chain (BSC) network, which means that you can buy Binance Coin (ticker BNB) and then exchange it for one of the DeFi Swap supported tokens. Currently, DeFi Swap allows us to trade more than 50 well-known tokens, such as DAI, USDC, USDT and ANKR. We will be able to generate returns through the platform's liquidity pools. These liquidity pools work through smart contracts and allow us to earn a fixed interest rate on the cryptocurrencies we hold.
Needless to say, the DeFi interest rates offered on these platforms tend to be much higher than what we would receive with a traditional bank account, Decentralized Finance Development Service Company which means this alternative savings and compounding approach can be lucrative in the long run. DeFi Swap also offers the possibility of staking, a process in which users can lock their tokens for a certain period and earn interest for it. This process works in a very similar way to liquidity pools, with the exception that here the user will not be able to access their tokens until the lock-up period has ended.
Finally, investors holding DeFi Coin (DEFC), the native token of DeFi Swap, can also generate a passive income stream through the token's innovative taxation process. We explain: every time someone buys or sells DEFC a 10% fee is applied, and half of the amount raised is distributed to other holders as a “dividend”.
The remaining 5% of said rate will go directly to provide liquidity to the system. Due to this and the features we have mentioned above, we believe that DeFi Swap has all the ballots to become the best DeFi exchange of this year.
2. AQRU – A perfect platform for interest collection
The AQRU platform is the first platform created solely and exclusively for staking, in a simple, fast and direct way. Its goal is to speed up the achievement of profits per stake without the need for high knowledge. With AQRU we can make deposits either in currencies (EUR, USD, GBP) or in cryptocurrencies, the currencies used in the platform being Ethereum, Bitcoin, USDC and USDC Maple.
The profitability that they will give us will depend on the currency that we are choosing. So for example Bitcoin and Ethereum will give us 1%, USDC will give us 3% and USDC Maple will give us 7%. Cryptocurrencies will never be subject to an imposition period, with the exception of USDC Maple, which will be 90 days.
A particularly striking feature is the fact that there are no fees other than the reimbursement costs in case they are made in the form of cryptocurrency, not Fiat currency. For the rest, it has a fantastic app available for Android and iOS, with which any investor will be able to take their investment with them wherever they go.
Perhaps the only negative point that we find in this DeFi is that it does not have the option to make exchanges, as is the case, for example, in DeFi Swap. However, AQRU's mission is very clear, profitable and accessible, which is why it is also listed as one of the best staking platforms of the moment.
3. PancakeSwap – Perfect platform to trade with low commissions
Without a doubt, another decentralized exchange to consider if you are looking to buy cryptocurrencies is PancakeSwap. We are therefore talking about one of the best DEX exchanges for beginners, offering us a very easy-to-use web platform where we can exchange tokens in a matter of seconds. As with DeFi Swap, PancakeSwap is built on the Binance Smart Chain (BSB) and has been in operation since September 2020.
PancakeSwap supports trading with a huge number of cryptocurrency tokens, which we can either search for or add manually using the contract address. We will be able to exchange BNB for these tokens by connecting your cryptocurrency wallet to the platform, with PancakeSwap currently supporting ten different wallet providers, including for example MetaMask and also Binance Wallet.
When it comes to fees, PancakeSwap charges a 0.25% commission on all trades. This amount is divided between the liquidity pools and the exchange's treasury, and a part is used to repurchase CAKE (the exchange's native token) and then burn it. Aside from token swaps, PancakeSwap also offers 'Syrup Pools' that allow you to stake CAKE and earn interest on the same or a different token.
4. Uniswap – Decentralized exchange that operates anonymously
If we are looking for the DeFi exchange with the highest trading volume, then we are going to have to head straight to Uniswap. According to CoinMarketCap, Uniswap regularly handles over $4 billion in daily trading volume, de facto giving it the largest market share when it comes to DEXs.
Uniswap is what is known as an “ Automatic Market Maker” or “automated market maker” (AMM), which means that it is fully decentralized and that it facilitates operations and the generation of yield through smart contracts. With Uniswap, users can trade tokens or stake their holdings in liquidity pools, with the latter option providing similar (or better) returns than the best dividend stocks.
5. 1inch – One of the Top DEX Exchanges for a Cost-Effective Swaps
Another of the best DeFi platforms of 2022 is without a doubt 1inch. This provider is slightly different than the other options on our list, as it defines itself as a “DEX aggregator”. As an Aggregator, it means that it automatically searches other decentralized exchanges and finds the cheapest way to do a specific trade. Look for the best price among all the options and finally that is the one that it offers us.
Getting a better price sometimes involves exchanging our tokens multiple times across multiple platforms, which can be a bit complex but is vital to ensure we get the best rate. In any case, the best part is that 1inch does not charge any commission for this process, although it is true that there may be commissions charged by the exchange that 1inch partners with to make your exchange
6. Curve – The best exchange to trade stablecoins
To close our list of the best DeFi exchanges we are going to mention Curve. Those who regularly invest in cryptocurrencies have probably heard of Curve as it is one of the biggest DEXes on the market. The Curve protocol is built on top of the Ethereum blockchain and is primarily focused on stablecoin trading and yield generation through liquidity pools.
At first glance, it is striking that Curve's aesthetics have a marked "retro" air, despite which it is still easy to make the desired changes. Trades on the Curve platform have a commission of just 0.04%, which is distributed between liquidity providers and members of the Curve DAO. As for asset selection, Curve currently supports more than 45 tokens, including USDC, DAI, USDT, and others.