Moonbeam DeFi Hub on Polkadot

Overview

Moonbeam and Moonriver have officially launched. Today we take a look at what series of decentralized applications are running on both platforms and how DOTholic can maximize DeFi capabilities.

Both ecosystems are a shining star of the Dotsama ecosystem with Moonriver being one of the most used 2nd Layer Ethereum to date. With the position gradually consolidated, several emerging opportunities create multiple playing fields for users – mainly farming, liquidity, providing, or lending already available in both ecosystems.

DeFi on-air
Solar Flare & Solar Beam – Swap, earn, farm and launch projects – all powered by DeFi

TVL: $18M
Users: 6.000 monthly
APY: up to 200%
ATH: $24
ATL: $0.46
MC: $3M

The project is deployed on both Moonriver (Solarbeam) & Moonbeam (Solarflare) – and it becomes one of the most successful DEXs in the Dotsama ecosystem – There are over 500 trading pairs on Moonriver with a volume of $2.5B, which is quite impressive only 4 months since the launch of the platform.

Solarflare acts as a decentralized exchange that provides liquidity and allows peer-to-peer trading on the Moonbeam/Moonriver network. The main aim of the project is to establish a widespread and user-friendly one-stop platform for the crypto community.

Solarbeam is already able to use KSM tokens via XCMP protocol, so you can seamlessly transfer KSM tokens from Kusama to Moonriver and start providing liquidity or engage in yield farming with an existing MOVR/KSM pair APY of about 140%.

Pickle Finance (PICKLE) – Yield Aggregator optimizes profits with maximum efficiency

TVL: $39.5M
Users: 7575
APY: Up to 775%
ATH: $85,24
ATL: $4,41
MC: $4.9M

DeFi has grown a lot over the past year. There are many parts of DeFi including lending platforms, liquidity protocols, stock synthetics, AMMs, and more. Yield Aggregators are another option in the DeFi space.

For example, you want to invest money and maximize profits by leveraging different DeFi strategies and protocols to get high returns. Yield Aggregators exist exactly for this purpose. The project focuses on saving your time, and your assets and it also has a fairly low fee allowing you to change your positions regularly into the most profitable ones. In summary, Pickle Finance is always looking for opportunities to generate returns on assets at all risk tolerance levels.

Beefy Finance (BIFI) – Multichain Yield optimizes profits

TVL: $550,502
Users: …
APY: Up to 230%
ATH: $4,100
ATL: $3,28
MC: $4.9M

Another project focused on earning compound interest from your crypto holdings is Beefy Finance – a decentralized Multi-Chain Yield Optimizer that runs on both Moonriver and Moonbeam.

There are various investment strategies employed by Beefy Finance, all of which are secured and enforced by smart contracts. One of the goals of the Beefy Finance project is to automatically maximize user rewards from different liquidity pools (LPs), AMM projects, and other yield‌ farming opportunities within the DeFi ecosystem.

Beefy Finance’s flagship product is called “Vaults”. Vaults is a staking platform where users can stake crypto tokens. An investment strategy tied to a specific vault will automatically increase your deposited tokens by pooling arbitrary yield farm reward tokens back to the original deposit. Despite the name ‘Vault’ suggesting, your funds are never locked in any vault on Beefy Finance – you can always withdraw them at any time.

Zenlink (ZLK) – The best aggregator Cross-chain DEX protocol

TVL: $38.47M
Users: …
APY: …%
ATH: $4.40
ATL: $0.364
MC: $…

Zenlink is a basic DEX cross-chain protocol based on Polkadot and is committed to being the center of Polkadot DEX aggregation. By accessing the open & universal cross-chain DEX protocol based on Substrate, Zenlink DEX Protocol allows all parachains to build DEX and achieve liquidity sharing in one click.

Zenlink can be deployed on any kind of parachain (already on Moonbeam/Moonriver and more coming soon) and each instance of Zenlink can share liquidity. This project could easily become the most used DEX in the Dotsama ecosystem as it will have the highest TVL by connecting all the parachains and thus allowing for low slippage and a good user experience.

Convergence (CONV) – The First Decentralized Interchangeable Asset Protocol

TVL: $12.58M
Users: …
APY: …%
ATH: $0.251715
ATL: $0.004
MC: $9.3M

Convergence Finance is a decentralized, interchangeable asset protocol to bring traditional financial assets to DeFi. Convergence bringing Security Tokens to DeFi means you will be able to swap stocks, equities, or options for crypto assets – for example, you can sell your Tesla shares for DOGE.

Convergence Finance seems like a revolution in providing access to previously unavailable opportunities and securities. Can get exposure to real-world assets without any limits.

From a technical point of view, Convergence will be the first AMM in the DeFi sector to integrate new Wrapped Security Tokens (WSTs) with utility tokens on a single interface that is flexible and interoperable with existing DeFi protocols, making for the rate of world assets are interchangeable.

To make it easier to understand, the Convergence Protocol acts as a bridge between DeFi and the marketplace, allowing retail and institutional investors to seamlessly move between permissionless real-world assets and permissionless crypto & utility tokens DeFi positions.

Thorus – All in One Cross-chain DeFi Platform

TVL: $7.7M
Users: …
APY: …
ATH: $1.91
ATL: $0.123
MC: $1.4M

Another Defi cross-chain platform, Thorus, is an option for those who prefer adaptive treasury systems and a token holder-first approach. These features are taken seriously in Thorus so all other functions and protocol features are designed to underpin this approach. Holders and stakes are prioritized in literally every respect, so each feature of the ecosystem is aimed to benefit them. For example, refer to a constant drive of the value returned to the THO token. The project also aims to be one of the first AMMs with Protocol Owned Liquidity.

From a user perspective, Thorus is a DEX and yield farming platform with its liquidity owned by bonds, no different from the way the Olympus DAO works. The entire platform has launched very recently and thus offers incentives to kickstart its liquidity.

1Beam – Multichain Stableswap DEX

TVL: $9,69M
Users: …
APY: …%
ATH: $…
ATL: $…
MC: $…

1Beam is a project to build a decentralized application ecosystem on Moonbeam and other ecosystems. As a main part of the project can be considered stableDEX which acts as a decentralized stablecoin exchange. This is a platform for swapping stablecoins and pegged assets with very low fees (only 0.04% swap fee) and almost zero.

Also, liquidity providers can make a profit by funding basic liquidity pools with a current APR of around 27%. Providing liquidity is rewarded with native tokens as an incentive.

Impossible Finance (on MOVR)

TVL: $9,69M
Users: …
APY: …%
ATH: $3.51
ATL: $0.33
MC: $41M

Impossible offers the opportunity to be part of the launchpad and accelerator platform. The only thing users need to do is connect a wallet, buy IDIA tokens and use them as shares to participate in ongoing projects by providing them with an initial investment.

Earndrop, stakedrop and claim high potential new developing projects. Users only need to stake the IDIA token for a limited time and as a reward and will receive new tokens from the participating contributed project. After that, the IDIA token can be freely reused. There is a downside that you have to go through a KYC process which means sharing your ID with a third party.

Synapse Protocol (GLMR + MOVR) (on GLMR + MOVR)

TVL: $9,69M
Users:…
APY: 3,76% – 10,99%
ATH: $4.92
ATL: $0.38
MC: $461M

Synapse Protocol is a cross-chain bridge and AMM solution, mostly known and used as a primary choice for Ohmies based on the OlympusDAO ecosystem. Synapse has been connected to chains like Ethereum, Avalanche, BSC, Fantom, Polygon, and so on. In some cases, you can even get a small reward for using the project’s bridge (for example, getting AVAX tokens for using the bridge with the Avalanche chain).

Today, users can use Synapse to swap assets on the most widely used EVM-compatible blockchains. Synapse currently supports the highest liquidity among other similar interactive solutions. As an option that can be seen as a possibility to stake mostly stablecoins with profit in SYN tokens. SYN will also be used to pay for transactions in the network as well as to bridge with other chains. It is currently used for community governance votes through SynapseDAO, as an incentive for liquidity providers to enable cross-chain functionality of the protocol, and as a grant to pay for gas expenditures by validators to secure transactions across the network.

Curve – Create deep on-chain liquidity using advanced bonding curves

Curve Finance is designed to swap between stablecoins with low cost and slippage. It acts as an open decentralized liquidity aggregator where anyone can add their assets to several different liquidity pools and earn fees.

Because of the way the pricing formula on Curve works, it can also be extremely useful to swap between tokens that remain within a relatively similar price range (mostly stablecoins).

Currently, there are 17 Curve pools available to swap between different stablecoins and assets. These are, of course, constantly changing based on market demand and the ever-changing landscape of DeFi. Some of the most popular stablecoins available include USDT, USDC, DAI, BUSD, TUSD, sUSD, and more.

Although there is no official word on the Curve team, the majority of GitHub’s contributions are from Michael Egorov, best known as the CTO of computer and cybersecurity company NuCypher.

Summary

Although the Moonriver and Moonbeam ecosystems are nascent, there are many applications already deployed to both networks. They are the 2nd layer of Ethereum layers because they have cheap and fast transactions, compatibility with Polkadot and Ethereum itself via a bridge, and even on-chain governance.

We will see these networks grow even more as the other parachains become fully operational and they become interconnected with the entire network. This connection will create endless possibilities for DeFi users and Moonbeam/Moonriver will be an invaluable part.

See ya in the next article !

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