NEW YORK, NY / ACCESSWIRE / August 5, 2020 / The Blockchain and Cryptocurrency business lately has been witnessing the rapid rise of DeFi, a promising application scenario of Blockchain Technology. As of August 3, 2020, the total value locked (USD) in DeFi has reached an all-time high of $4.25 billion, showcasing huge potential of future growth. DeFi refers to decentralized financial infrastructure and products built on a blockchain network. DeFi is largely developed on the Ethereum network, which is controlled by a network of computers, rather than a centralized financial institution.
DeFi holds the potential to attract value over the financial services industry, primarily because of its global accessibility – no one can be denied service. In this open and decentralized finance marketplace, parties can transact directly with each other without borders.
Current DeFi platforms such as Compound offers lending and borrowing services underpinned by the over-collateralization of crypto assets. However, one downside of this methodology is that capital extraction is inefficient, and users are unable to unlock the full value of their digital asset portfolio. In addition, many users have capital locked up in the traditional fiat financial markets (i.e. stocks, bonds and real estate), and this locked value remains separated from the decentralized crypto ecosystem.
Aegis is a scalable DeFi platform that solves this problem by giving users access to lending and unsecured borrowing services, based on their credit scores. An “Aegis Score” is then assigned to the individual users, which allows users to unlock corresponding capital