The Decentralized Finance (DeFi) sector is easily one of the strongest and most promising segments of the world’s growing financial industry. As the name suggests, decentralized finance removes central institutions and intermediaries from the sector, enabling the public to directly access financial products at the best possible prices. Essentially, banks and other financial institutions can no longer exert control over the market, putting power in the hands of ordinary people.
Using DeFi has several advantages. Most notable of these is the autonomy it offers the public. With DeFi, people who trade in the financial sector using a variety of products have full control over their funds and can channel them as needed. Also, unlike traditional systems that reserve many products for high-net-worth individuals, DeFi does not impose strict restrictions on access to these financial products. Another advantage of DeFi is lower fees; since there are no intermediary banks or financial institutions, customers don’t have to worry about the huge fees charged by these entities.
Today, some entities have seen the convenience that DeFi brings to the industry and want to use the technology to disrupt the global financial industry. Some are launching new products, while others aim to improve the market across the board – one of these entities is the DeFi 3.0 Alliance.
What is the DeFi 3.0 Alliance?
DeFi 3.0 Alliance is a global non-profit association that aims to improve the DeFi industry and promote its overall development. The association focuses on the development, education and global adoption of DeFi products, creating more affordable and transparent access for all. The alliance also promotes easy and secure use of DeFi 3.0 and Agriculture-as-a-Service (FaaS) solutions.
Cryptocurrencies and blockchain technology often form the cornerstone of decentralized finance. Currently, many people use these products to build complex products for more advanced functions or relatively simple transactions such as cross-border payments. The huge potential of this market ensures the continuous development of DeFi, gradually evolving into the new DeFi 3.0. This potential drives the DeFi 3.0 Alliance to ensure DeFi 3.0 and FaaS are recognized in the crypto and blockchain space.
The DeFi 3.0 Alliance currently has eight entities as founding members. Each member is a leader in the DeFi field with extensive expertise and experience in related products. Each also contributes to the group’s $150 million market cap and a community of nearly 100,000 users. Members include:
In addition to the above, the DeFi 3.0 alliance will also welcome foodfarmer.eth as a consultant. Nonetheless, the consortium welcomes all DeFi 3.0 or FaaS projects with credibility, provable security, and the necessary drivers needed by the industry.
DeFi 3.0 Alliance Method
The DeFi 3.0 Alliance will use several focus areas to achieve its goal of improving the DeFi 3.0 and FaaS space. First, the association will invest in research and development (R&D) to create security standards as minimum requirements for deploying secure FaaS and DeFi solutions. In addition to these standards, the consortium’s R&D efforts will focus on optimizing the technical framework for innovations and products to be accessible across multiple chains.
The DeFi 3.0 Alliance will also facilitate the exchange of information on fundamental market issues and trends, resulting in better DeFi 3.0 and FaaS performance. In addition, efforts will be made to promote and publicize DeFi 3.0 and FaaS to more potential market participants and alliance members.
As part of its plan to improve the industry, the DeFi 3.0 Alliance has an accelerator program that provides seed funding for new projects. Through direct investment from members and association funds, the alliance will provide innovative projects with the liquidity they need to advance DeFi 3.0 and FaaS.