Two New DeFi Assets Skyrocket As Bitcoin and Ethereum Move Sideways
A new breed of decentralized finance (DeFi) assets are popping up as Bitcoin (BTC) and Ethereum (ETH) continue to consolidate.
Alchemix (ALCX) is a DeFi protocol that allows users to take out loans that can repay themselves over time by using the collateral to generate yield.
Alchemix takes deposits via DAI, and then converts the DAI into its native stablecoin called alUSD to give out loans.
Users can loan up to 50% of their deposits on the Alchemix platform and settle their debts by leaving their deposits to generate yield, repaying with alUSD or DAI whenever they want, or using part of their collateral. Shortly after launch, the platform gained more than $500 million in total value locked.
According to CoinGecko, ALCX skyrocketed 435% in a week from a low of $279.54 on February 27th to an all-time high of $1,497.27 on March 6th.
Another DeFi asset that has burst on the scene is Inverse.Finance (INV), which according to CoinGecko, surged 449% in just two days from a low of $377.60 on Friday to a high of $2,075 on Sunday.
INV is a protocol that aims to give users a no-loss investment strategy with any token by utilizing a dollar-cost averaging (DCA) system with stablecoin yields. By depositing DAI and allowing a yield optimizing protocol to generate earnings, profits get continuously swapped to your crypto asset as long as you have the INV vault token.
In February, Inverse.Finance announced the launch of their Anchor Protocol, which is a money market centered around DOLA, a native, synthetic stablecoin.
Although both Inverse.Finance and Alchemix hit the ground running, it remains to be seen whether they will continue to perform or pull back in the notoriously volatile and high risk DeFi market.
Crypto headlines delivered daily
to your inbox
BTC, ETH, XRP news alert options
By joining The Daily Hodl news list you agree to our
Check your inbox for confirmation email.
Cryptocurrency news and analysis, covering Bitcoin, Ethereum, Ripple, XRP, altcoins and blockchain technology
Bitcoin • Ethereum • Trading •
Ripple and XRP • Altcoins •
Blockchain • Regulators •
Scams • Crypto101 • HodlX • Explore • Futuremash •
TERMS AND CONDITIONS | CONTACT
JOIN US ON TELEGRAM
JOIN US ON TWITTER
JOIN US ON FACEBOOK
COPYRIGHT © 2017-2021 THE DAILY HODL
© 2020 The Daily Hodl