The DeFi sector of the crypto / blockchain industry has been around for years, but it wasn't until 2020 that it really started to attract more attention. In recent years, crypto users focused on things like ICOs and IEOs, as getting the money through get-rich-quick schemes was at the height of its popularity. With everyone looking to invest in the next successful coin, not many people were bothering with the idea of what blockchain and crypto can actually do to improve the world.
The recently discovered interest in decentralized finance (DeFi) shows that this is beginning to change and that people are now looking to improve the financial industry, rather than the health of their own bank account. Now the DeFi market is exploding as some of its projects became big hits, like Compound, which allows users to lend and borrow money in a decentralized way.
How does staking DeFi work?
If you have some extra money and want to keep it in a savings account, you can do so at a traditional bank. After a while, you will earn a certain amount of interest on that money and your wealth will increase a bit. Wait long enough and you can earn quite a bit that way.
The problem is, this money is out of your reach once you put it in the bank, and you just can't use it. This is a problem that DeFi projects are trying to solve, allowing you to lend your money to those who would borrow it, earn interest, and still have the ability to withdraw and use it, as well as said interest, whenever you see it.
The Compound protocol is based on Ethereum, like most DeFi projects, and as such you can use many different ERC-20 coins to deposit money into it. You can easily deposit currencies like DAI, USDC, or USDT, transfer them to the project's native cToken, and then earn interest that you can save. All you need is a good wallet to keep your tokens in play, like holytransaction.com
What is HolyTransaction?
HolyTransaction is a crypto wallet that has seen a huge surge in popularity since its humble beginnings in 2015, allowing users to easily deposit many different types of currencies and manage them within the wallet itself.
It is the preferred option of many cryptocurrency users to bet coins or even just keep them safe. HolyTransaction is highly secure, but also easy to use, making it popular with crypto savvy users and newcomers to the crypto industry alike.
Once you deposit some coins in the wallet, you can use them to buy or sell coins, exchange them for other cryptocurrencies or even exchange them for fiat currencies and withdraw them.
The HolyTransaction wallet gives you access to your stablecoins, with no additional steps to start betting them. As such, it is a perfect tool for storing the earnings you make from lending tokens through similar DeFi projects.