Yesterday there was an important announcement from Coinbase about the addition of new tokens to their exchange. In reality Coinbase has not yet decided whether or not to add the tokens mentioned yesterday but is in the process of analyzing them thoroughly to see whether they are regulated in the countries where they operate. Among the various tokens announced many of them are from DeFi, which is why we are of the opinion that Coinbase loves decentralized finance (even though at the moment it is one of the largest centralized exchanges in the world). But which are these DeFi tokens that Coinbase plans to list? We will now analyze them one by one, briefly describing their operation.
A project that had a successful ICO in 2017 under the name ETHLend (Lend). It changed its name and became one of the key projects in decentralized finance. Just yesterday it exceeded $100M of market capitalization. So what exactly is AAVE? It is simply an open source, non-custodial DeFi project that allows anyone to create money markets. Users can then use this technology to earn interest on their deposits.
Bancor is another big player that has been in the DeFi sphere for several years (with the BNT token). It’s a fantastic platform that allows anyone to create their own crypto assets and exchange them with other existing cryptocurrencies. During the ICO phase the CEO had revealed he wanted to create a sort of YouTube, a site where anyone can create something and show it to the world, perhaps earning money too. At the moment the token underlying Bancor is performing very well and will certainly improve further with the listing on Coinbase.
Compound Finance (Comp) is one of the top three DeFi projects in the world in terms of locked assets. We have already talked about it on DeFi.cx and we invite you to read our previous article. To summarize, we could define Compound as a sort of bank where anyone can apply for or grant loans. Obviously when applying for loans you must provide assets as collateral, whereas by granting loans it is possible to earn interest. Banks will have big problems if platforms like Compound get the success they deserve.
Among the coins analyzed by Coinbase there is also the Keep Network project, a privacy layer for Ethereum that allows smart contracts to take full advantage of all the features offered by blockchains. In a few words, Keep Network is like a bridge that helps connecting public blockchains with private data. For those who don’t know how it will be used, here are some examples: electronic health records, credit scoring, estate planning and so on. In short, sensitive data stay private while taking full advantage of public blockchains. ?Keep is building infrastructure for autonomous private data on public blockchains, DApps, and DAOs, including tBTC.
Ren is a DeFi protocol that launched its mainnet about 1 month ago. It is one of the few projects that brings Bitcoin on the Ethereum network, making it usable on DEXs and Ethereum wallets. The token is called renBTC and is increasing its market cap day after day. In addition to renBTC there will also be other tokens for other blockchains, created specifically to work on the Ethereum network. A great thing!
As in the case of Compound, this project deserved a full article here on DeFi.cx! For those who missed it, this is briefly what we’re talking about: Synthetix allows anyone to create synthetic assets through tokenization, which can then be traded on public exchanges. To do this, the platform uses its own currency, namely SNX, which is used as collateral and for staking to generate earnings. A complex project that is consistently in the top positions of the best DeFi protocols on the DeFiPulse website.
We can only hope that Coinbase will welcome all these coins on its exchange in order to improve their liquidity and visibility. Nevertheless, all 6 tokens have experienced significant price increases lately and have generated 300-400% profits relative to the prices of 1-2 months ago.