The world of decentralized finance (DeFi) opened a vast array of new opportunities with its explosion in 2020, but it also brought new challenges and profound risks to crypto users. Due to its decentralized nature and short history, the industry is difficult to regulate and can hardly provide a secure environment for its players.
Nowadays, anyone with access to the internet can lend, trade or borrow funds without the need for third-party intermediaries and participate in the DeFi space with next-gen financial tools forged on the blockchain and the help of smart contracts.
DeFi protocols include financial instruments developed to help investors maximize revenue and passive income, with the following being the most popular:
- Staking means locking up tokens for passive income through rewards or recognition.
- Yield farming is a subset of staking and can be compared to earning interest from money deposited in a bank.
- Liquidity mining is a subset of yield farming, where liquidity providers receive extra compensation in addition to trading fees and interest in the platform’s own token.
However, the risks associated with these financial activities can bring high losses if disregarded. Scams and rug pulls can trick investors into fraudulent businesses that can steal their funds and disappear. Hackers can also exploit smart contract vulnerabilities to steal users’ funds. Market risks due to high-volatility movements can compromise the value of digital assets. Still, developers are working on bringing safer and more secure investment opportunities to the blockchain.
Auto-farming across chains
Uno.farm is a cross-chain auto-farming solution with automated strategies, smart analytics and a yield-generator tool created to mitigate the risks associated with DeFi while helping users maximize yields with the latest cutting-edge instruments.
The platform helps reduce risks by pre-auditing all yield sources before making them available to users. It also provides an anti-rug-pull solution and an insurance fund to cover potential losses, as well as an inheritance mechanism to prevent loss of access to funds.
Uno.farm facilitates investment and saves participants’ time by combining the complicated technologies associated with staking, yield farming and liquidity mining into a few simple clicks. It aggregates trusted DeFi protocols across multiple blockchains and employs detailed analytics and statistics to automatically make decisions so that users don’t have to search for the best yield opportunities manually.
In order to better guarantee maximum yield in the easiest way possible, Uno.farm has developed a feature called Single Asset Entry and Withdrawal, intended to simplify the user flow. This is also its finest achievement in the last 12 months. Initially, users could provide liquidity with two tokens held in DEXs, while LP tokens were transferred to farming pools.
Uno.farm has now simplified the procedure by adding the ability to enter and exit liquidity pools and Autostrats with just one token. A partnership with DeFi and DEX aggregator 1inch has been crucial in providing the platform with an enterprise license for Single Asset Entry token swaps.
Soon, adding a fiat currency gateway will allow fiat currency deposits and withdrawals. What’s more, Uno.farm is also working on introducing single token liquidity to be brought to the platform from other chains. These measures aim to lower the barriers to entry and reduce time invested in the process. In the next 12 months, Uno.farm will focus on updating Autostrats, the inheritance mechanism, and further simplifying user experience.
To find out more about Uno.farm and its Single Asset features visit the official website.
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