PrimeXBT and Covesting to Make DeFi Staking Easy
Disclaimer: The text below is a press release that was not written by Cryptonews.com.
One of the most crucial driving factors early on in the ongoing cryptocurrency bull market was the sudden emergence of decentralized finance, also known as DeFi.
In early 2020 the total value locked in DeFi applications began to rise, proving the concept as a way to earn profits from crypto assets beyond investing and trading alone. It also enabled permissionless lending and borrowing, mimicking some of the missing pieces of the puzzle when it comes to crypto replacing traditional finance.
The problem plaguing DeFi projects is that there’s still a complicated technical layer to get past that can put off some crypto users. Either they don’t have the time, the expertise, or simply don’t want to put in all that effort to get an APY. Fortunately, PrimeXBT and Covesting have teamed up to make DeFi staking simple for everyone who wants to get involved.
All About How DeFi Is Dethroning Traditional Finance
In a flash, the wonderful world of DeFi went from an idea into a fully functioning replacement to traditional finance – all built on blockchain. Crypto tokens power the overall experience, bringing new avenues for profit to be made. The booming industry also introduced automated market-making protocols, such as Uniswap.
While some DeFi dApps focus on permissionless lending and borrowing, protocols like Uniswap also offer an APY yield for token holders that offer up their crypto assets as liquidity in on-platform trading pairs. Unlike typical crypto exchanges that provide liquidity to customers, users themselves provide the liquidity. For example, the COV/ETH trading pair lets users of the platform trade COV for ETH and vice versa. But where exactly does the liquidity on each side come from?
Users must lock up COV and ETH tokens to provide liquidity to the trading pair. The balance of liquidity on either side impacts price action. Those who trade the pair instead generate fees which are then distributed to liquidity providers who earn a variable APY in return. The process isn’t overly complicated, but it does involve connecting wallets and using a dApp browser to properly access the power of the Uniswap app.
How PrimeXBT Plans To Make DeFi Easy With New Covesting Yield Accounts
The awarding-winning trading platform PrimeXBT has tapped licensed European B2B software developer Covesting to launch a new Covesting Yield Account module, alongside the company’s flagship Covesting copy trading module – also available at PrimeXBT.
The Covesting copy trading module makes following top strategy managers easy, and the all-new Covesting Yield Account system enables the easiest DeFi experience around.
By visiting the Covesting Yield Account section of the PrimeXBT dashboard, users will be able to access popular DeFi protocols through the dashboard itself, all within just a few clicks. There are no more wallets to connect, endless confusing steps, or a potential for something to go wrong – simply choose how much of any crypto asset you want to stake, get an estimate of the current APY, and begin staking. The product is expected to go live in Q3 2021.
COV Utility Token Unlocks Up To 2x APY Boost, Early Birds Get 1%
Covesting Yield Accounts will support several of the hottest crypto assets today, offered on PrimeXBT alongside CFD trading on forex, commodities, stock indices, and more. APY rates are variable but highly competitive, and users who join a waitlist ahead of the Q3 2021 launch can get a 1% APY boost during the one-month introductory launch phase.
And because Covesting is behind the development of the platform, the COV utility token will be integral to the experience and benefit the entire ecosystem further. For example, in addition to staking unlocking three new account tiers that provide a wealth of benefits, COV staking also improves the APY when using Covesting Yield Accounts.
COV token holders can get up to 2x more APY depending on which account tier they’re at. Integrating COV token utility further into the Covesting Yield Account system also is an incredible boost for the COV token’s long-term value. Its use in more and more applications will only further improve demand conditions. Regularly scheduled systematic token burns keep the circulating supply shrinking and scarcity rising.
All About Covesting Yield Accounts On PrimeXBT
Covesting Yield Accounts, like all innovative products produced by PrimeXBT in partnership with Covesting, provide both accessibility and advanced tools, catering to novices and professionals alike. Users wanting a streamlined no-frills approach to DeFi can dig it at their comfort level, while experienced users can kick things up a notch with the COV token.
Covesting Yield Accounts are only a tiny piece of the massive roadmap ahead for Covesting. Continued B2B partnership with PrimeXBT for these launches makes sense considering the current track record of success.