For all its evolution, the DeFi sector is still a long way from being a reliable source of services that exist in traditional banking. For instance, many crypto traders today still have to turn to traditional finance with all its centralization for lending, borrowing, and insurance services.
This situation is even worse for the nearly 1.5 billion people who remain outside the world’s mainstream banking services. All this goes to show that something needs to change.
How Paydax is Building the DeFi Banking Future
Enter Paydax Protocol. Built with the everyday trader in mind, Paydax Protocol is flipping the script by leveraging the immense liquidity of the crypto sector while providing robust banking services.
With the Paydax protocol, crypto assets, whether crypto or tokenized RWAs, go from being high-value holdings to new streams of liquidity. The protocol lets users explore lending, borrowing, and insurance services. The best part is no need for banks or middlemen in line with the true blockchain way.
Paydax Protocol is bringing traditional banking services to the DeFi sector through several avenues that include:
Borrowing against crypto and real-world assets
With Paydax, the BTC sitting in your wallet can become an active liquidity source without you selling it. You can simply borrow against the crypto in your wallet, choosing the loan-to-value ratio you prefer. Take, for instance, Jane, an avid web3 trader who needs quick capital.
Instead of selling out of the $100K bitcoin in her wallet, she can borrow against it using a 95% LTV. This way, she gets $95,000 while her BTC is locked in a vault as collateral. Once she repays the debt, the money is returned to her.
The advantage? Jane can access quick capital without having to sell off her assets. The best part is that this borrowing service can also work with tokenized real-world assets, which will be verified as NFTs thanks to Paydax’s partnership with Sotherbys.
P2P Lending
Beyond borrowing, Paydax also offers P2P lending services, allowing users to earn money by providing stablecoin loans to borrowers. Paydax gives lenders up to 15.2% APY, a figure that is higher than that of some banks.
The network also offers “Redemption Pool staking”, allowing users to lock up their tokens to cover lender shortfalls that could come from defaults. This redemption pool is only activated when there is a default, but stakers can earn up to 20% APY for the risk they undertake. Paydax doesn’t stop there. It also offers up to 41.25% APY for leveraged farming, which could go as high as 5x.
Aside from the attractiveness of these benefits, Paydax is also gaining attention for its rapid development. Despite being in its presale, Paydax Dapp v1.0 is already live. This shows the network’s commitment to tangible deliverables unlike many projects that only offer promises.
Why PayDax Stands Out: Robust Infrastructure and Security
Paydax Protocol is not like any other DeFi banking protocol. Right off the bat, Paydax has secured partnerships with Sotheby’s and Christie’s, which are recognized RWA valuers. It will also leverage Brinks for securing physical assets like gold.
Beyond confirmed partnerships above, Paydax will also leverage technology from Chainlink for live data price feeds and Jumio for KYC verification of RWA customers. The project also incorporates KYC verification by Onfido alongside independent audits by Hacken, Rapid Innovation, and Quill Audits.
Most importantly, the network has received a gold standard audit from Assure DeFi, confirming its commitment to user safety.
Moreover, the team behind Paydax Protocol is fully doxxed with public contact information. This team also hosts AMAs, podcasts, and face-to-face video updates as part of its 100% transparency policy.
Why Analysts Rate Paydax Highly
Bitcoin’s return to $116,000 and excitement around recent interest rate cuts are sure to spark a DeFi sector rebound. Yet, many analysts acknowledge that DeFi participants are seeking projects that offer financial services similar to those in traditional banking.
This positions Paydax Protocol as a game-changer that could capitalize on current investor sentiments. Additionally, its utility-based yields could attract many investors focused on practical use cases instead of hype-driven tokens. With Paydax offering multiple yield-earning services, some investors say it could become a DeFi powerhouse over the next few years.
Another USP Paydax offers is its low entry point. The presale, now live, offers one PDP token at $0.015- Yet, with stage-based increases, upcoming listings, and excitement around confirmed partnerships, some investors say this could be the launch point for a parabolic surge.
Beyond a rally potential, Paydax offers the opportunity to be an active participant in the DeFi banking ecosystem. Given that holding PDP tokens also comes with governance benefits, it offers the chance to shape how DeFi banking will grow.
The avenue to seize this opportunity is shrinking as other investors race to join its ongoing ICO. One token now trades at $0.015.
Yet, it could surge right after listing as is the case with highly rated DeFi tokens. Additionally, if you sign up today, you can secure an 80% bonus through the PD80BONUS. You can secure your slot in Paydax Protocol by heading to its presale now. 👉 Join the Paydax presale today and be part of the first true people’s DeFi Bank.
Join the Paydax Protocol (PDP) presale and community:
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Maisie is an experienced Crypto & Financial news journalist, having written for Moneycheck.com, Blockonomi.com, Computing.net and is Editor in Chief at Blockfresh.com
