Top Blockchains for DeFi: Pick the Right One for Your Business
DeFi (decentralized finance) is the next big thing in the financial industry. DeFi can be applied to any company that works with money and value. Anything from payment gateways to insurance providers can utilize a decentralized approach towards their financial products or services. Compared to traditional finance technologies, DeFi offers more transparency and, as a result, more trustworthiness between businesses and their customers.
To create decentralized finance solutions, different blockchains are available. Each blockchain has its advantages and disadvantages when it comes to reaching the desired level of decentralization.
Seven Bits is a leading blockchain development company offering you full-fledged DeFi development for your business. As multiple blockchain platforms are available, we've gathered the best ones to begin your project. But, before that, let's have a quick overview of DeFi.
An overview of DeFi
DeFi is a decentralized variant of the traditional finance industry. It's an entirely new way to approach finance, where no intermediary or central authority exists between two parties conducting business.
Blockchain technology has opened doors to entirely new financial approaches. For example, the introduction of smart contracts allows instant transactions with low fees and better security than traditional methods can offer.
Smart contracts are based on computer code and regulated by the computing power of multiple nodes instead of a centralized institution. As a result, it makes it harder for anybody to tamper with the financial contract — but also more challenging to build DeFi applications since development requires programming expertise in different programming languages such as Solidity and Python. But that shouldn't stop you from making your business more competitive through decentralization.
Which blockchain platform to choose?
When it comes to DeFi development, there are multiple blockchain platforms available. Below are some of the most efficient and robust blockchain platforms for your next project:
It is the most popular blockchain platform for decentralized finance. It has all the tools necessary to build trustless infrastructure on top of it, like good scalability and advanced functionality that allows you to write your smart contracts. Ethereum offers an excellent level of decentralization and, on top of that, possesses a highly functional ecosystem with advanced infrastructure and a large developer community.
This blockchain platform was designed with differentiation in mind. An innovative decentralized ledger offers real-time transactions, high scalability, and instant settlement. The ledger is built upon Proof of History (PoH), a consensus algorithm operating on data, not the chain itself. In addition, Solana has its own Turing Complete programming language, Rholang, which allows developers to write any number of smart contracts for transaction optimization and validation. If you want your DeFi project based on all these factors, don't miss out on Solana's incredible features!
Cardano is a blockchain platform based on peer-reviewed academic research. It's the first blockchain project to be launched with its own scientific, peer-reviewed approach and has some of the world's best researchers working on its development. The Byron release of Cardano is currently live and already offers some DeFi applications such as Lighthouse. It is an oracle that selects random numbers from a predefined list and blocks any transaction if it doesn't correspond with the chosen number — making it impossible for anyone else to access your funds without access to your private key!
Polkadot is one of the most innovative blockchain platforms. It allows you to quickly deploy your independent blockchain with custom rules and features on top of it. With Polkadot, developers can create interoperable applications that communicate with each other seamlessly. If you want to build a DeFi platform that's compatible with third-party services, Polkadot is worth considering! It is ideal for developers who wish to create their self-sustaining autonomous applications. Polkadot is closely connected to Ethereum and uses the same virtual machine for smart contracts.
The Avalanche protocol is an alternative to PoW and offers a radically different — but highly efficient — approach to blockchain consensus. It was created by Ethereum co-founder Gavin Wood and used a system of smart contracts working together in clusters, where each node acts as its blockchain without the need for mining or any other method used on traditional blockchains. If you're ready to explore the possibilities of Avalanche's Proof of Valid Traffic consensus algorithm, build your DeFi application on top of this amazing blockchain!
Polygon is a decentralized financial technology focused on reducing drag-effect and driving liquidity in cryptocurrency markets. It's an innovative blockchain platform that provides anonymous and trustless transactions, instant settlement times (20% higher than the average in the industry), and low fees. In addition, polygon's smart contracts enable instant transfers of any digital or real-world asset between peers — both individuals or organizations — without intermediaries.
DeFi development with Seven Bits
Seven Bits is a leading blockchain development company that offers you a comprehensive range of DeFi development services. We help businesses scale their operations faster & onboard more customers with ease. We provide the following DeFi development services:
DeFi dApps Development:
Seven Bits offers full-fledged dApps development services to suit your unique needs. Our DeFi dApps development services include smart contracts development, token creation, news feed campaigns, and more.
DeFi Wallet Development:
Wallet development is a crucial part of any DeFi project. For secure and safe transactions, your users need a custom-built wallet that complies with the specific needs of your business model. Therefore, we provide easy-to-use wallets along with convenient features such as price tracking, real-time market data, portfolio management & more.
DeFi Lending Platform Development:
We also help you build robust lending platforms that enable your customers to borrow or lend tokens with ease. With our custom-built solutions, you can offer your users a hassle-free way of lending & borrowing tokens within the cryptocurrency community.
DeFi Platform Integration:
We integrate DeFi platforms to help businesses grow their customer base and increase ROI. Our team of DeFi development experts offers seamless integration of third-party products with your Ethereum blockchain.
Get started with us today!
Seven Bits is a leading digital transformation company offering you bespoke blockchain development services. We've got you covered in DeFi development, legacy system migration, or decentralized integration. Get in touch with us at [email protected] to discuss your project today.