1. The rise of DeFi
Decentralized Finance (DeFi) is a set of blockchain-based applications. These applications together constitute an alternative financial system to replace the current centralized financial system.
The concept of decentralized finance did not start with the DeFi industry which we know well today. At the early period of Ethereum, developers were already building decentralized applications for financial cases. Instead of a centralized authority, automatic code execution called “smart contracts” will promote efficient transactions, which not only maximizes efficiency, but also reduces costs. The fundamental upgrade of Ethereum make it become the mainstream blockchain protocol in the fledgling DeFi industry.
Now, the crypto winter provided perfect conditions for DeFi projects. ICO scammers have left the market, and investors finally adopted a more rigorous attitude to assess the feasibility of the project.
2. DeFi- A centralized financial alternative system
For centuries, financial services have been provided through central authorities which are trusted intermediaries. Part of the role played by the financial system intermediaries is to assess the risk and profits of the investment and conduct cost analysis. This has led to the exclusion of small and medium-sized companies from traditional finance.
Without rapid innovation, a centralized system that must comply with strict KYC and AML protocols cannot serve a developing market at all, because in this market, companies cannot meet conventional credit checks, and many people do not hold the ID issued from the government.
The goal of DeFi is to provide an alternative financial system that can be used equally on a global scale. Users only need to connect to the Internet to participate in many different protocols and projects. This is the goal of a financial system established in an open, permissionless and decentralized manner.
3.The DeFi boom
2020 is the year when DeFi really booms. Putting aside the transactions triggered by FOMO sentiment, if DeFi is to really propose a viable alternative financial system, some key challenges need to be solved. Despite the recent upgrade of Ethereum, the throughput of blockchain is still a problem. With the increase in global transactions, network congestion is a recurring problem. At this time, TRON DeFi ushered in a good opportunity for development.
The launch of TRON DeFi has gradually made people more interested and concerned about the dispute between TRON DeFi and Ethereum DeFi. Compared with the current congestion and high miner fee of Ethereum, TRON has shown great advantages in terms of good scalability and low cost. The current ecological projects on TRON network involve wallets, browsers, infrastructure, oracles, expansion plans, etc.
In the field of DeFi, it also has stablecoins, oracles, DEX, lending, derivatives, insurance and other projects. Although It’s still small, but it has begun to show its vitality. Over time, many fans of TRON began to look forward to TRON’s ability to catch up with Ethereum’s DeFi due to its advantages in scalability and cost.
However, with the increasing number of projects in the DeFi field, most investors are unable to distinguish between good and bad projects. Indeed, for many people, the first wave of DeFi craze came to an end after UNI airdrop. As DeFi has gradually rebounded recently, many people have begun to believe that the second wave is coming. The selection of projects is very important for investors. Through observation, we has recently noticed that a project called Worldtron has potential and is about to be launching.
According to the official information: Worldtron bases on the TRON public chain, and the founding team is a group of soccer-loving geeks. They wants to bring the carnival of The World Cup to the blockchain world, and create a community-autonomous on-chain soccer game, to build a decentralized financial system that benefits from both games and revenue.
The specific game rules have not been announced from the official founding team, but with the official post many people have paid attention to the project and look forward to the next development.
