DeFi is also called "Wild West” of Crypto

Crypto has given us a bunch of options to explore about investment and for sure it is way better than traditional investment. Now people in the crypto space are talking about some very popular terms like, NFT, DeFi, Yield Farming, Pools, Staking, and out of this DeFI has got so much attention. Pancakeswap is a very well-known name in the defi segment and because DeFi, Binance Smart Chain is also more popular. Its because BSC offers a minimal transaction fee and if we compare it to the ethereum network fee then its not even 1% and this is a bit different.

I tried to get involved in NFT but unfortunately, I did not get much insight into it. I have gone through various NFTs but I was not able to figure out which NFT I should but what value it will bring in my investment. Maybe later I get a better understanding but as of now I really have poor knowledge and understanding of NFT.

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Now talking of DeFi, which we see a lot these days. This segment has given us the opportunity to earn higher APR and sometimes its more than 100% which is never possible in the traditional world. Now since we get higher apr so its obvious that there will be higher risk but because we can get higher returns so taking risk is also seem to a profitable deal.
I started my DeFi journey with Cub Defi where I was aware of pancakeswap. I trust the Leo team and despite the CUB token's lower price, I am not worried because I know that it will grow because the entire Leo ecosystem is growing.

Decentralized finance, or "DeFi" as it's commonly referred to, is a trend in cryptocurrencies that first started gaining traction in 2020. It's been called the "Wild West" of crypto — hoards of computer programmers trying to bring traditional financial products such as loans to the blockchain.

Indeed this is a new segment where people can provide or available liquidity and the revenue generated through his model is shared with the liquidity providers. In simple words, we can understand that- when we borrow money from the bank then we need to pay interest to the bank, and a certain percentage of this amount is distributed among the people who deposit their money with the bank. Now since the bank is the middle man here so it takes a cut from this income and that's why the interest paid is slightly less. This entire mechanism is controlled by the bank and we can say that bank is the controlling authority.

In DeFi there is no middle man and controlling body because smart contracts manage it all. Developers define a code for the various conditions and these smart contacts are auto executed which is why there is no higher and the fee is too less. This fee is distributed among liquidity providers here and this is income for them. Before DeFi I never saw that we can ever earn interest of 100% or even more here we have seen it happening and people who adopted early have earned a decent income.

Here if we look at CUBDEFI then we can see the TVL is almost 17 million USD its a huge amount. Even we can earn APR up to 329 through various pools and this is possible only in DeFi.

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Certainly, there are many ups and downs in the market and we need to keep a close eye to avoid the situation of impermanent loss. Not everything can be 100% safe and this sector is certainly not however keeping a close eye on the market and the token pool can help us minimize the risk.

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Despite all the facts that we need to consider and keep in mind for our defi investment I still find it a great option to go for and its truly worth exploring. I am into this through cub defi and its helping me earn CUB tokens and I am reinvesting these tokens to earn even more tokens. So overall this is a fantastic opinion to invest and earn money.

What's your view about DeFi?

Thank you so much

Stay Safe