Farming for DeFi yields: A catalyst for achieving DeFi
A yield farm entails staking or lending crypto assets in order to earn high returns or rewards. In this scheme, liquidity providers are rewarded for locking up or staking their crypto assets in a smart-contract-based liquidity pool. The more funds they add to this pool, the better the returns.
In 2020, the yield farming market will grow from $500 million to $10 billion, making it the biggest driver of growth in the still-nascent DeFi market.
Why DeFi Yield Farming Is Needed
The importance of liquidity cannot be overstated for any crypto trading platform. A high liquidity exchange platform is able to fulfill its users’ buy and sell orders quickly and easily because of the ease with which an asset can be converted into cash or other coins without a delay.
The practice of yield farming ensures that exchanges have enough coins and tokens in their vaults to meet the needs of traders and achieve high liquidity.
In order to achieve and maintain high liquidity on your exchange platform, Revinfotech can help. We develop and deliver business-oriented DeFi yield farming platforms that help you achieve your objectives.
Platform Development Services for DeFi Yield Farming
In recent years, there has been an increased demand for DeFi yield farming development due to the opportunity it offers to liquidity providers and platform owners alike.
In case you are a start-up or an established organization planning to launch a DeFi yield farming platform, Revinfotech Solutions can help. DeFi yield farming is one of the most comprehensive services we offer – from building a smart contract-driven liquidity pool to implementing and deploying solutions. By leveraging ingenious solutions, we can improve your time to market and create an exceptional user experience.
DeFi Value Propositions
Platform owners can decide which mechanism to use for rewarding users who add assets to their liquidity pool.
Provide your users with compensation for providing liquidity to decentralized exchanges in exchange for a specific pair of tokens. Reward them with a portion of the exchange fee charged when the tokens are swapped.
Your users can stake or reinvest liquidity tokens into another smart contract in exchange for more tokens. This allows them to improve their holdings at a low risk.
Providing your users with governance tokens for participating in the liquidity pool gives them the power to vote on decisions concerning the core protocol. More governance tokens translate into more voting power.
Here’s how DeFi yield farming development works.
Incentivize your users to provide liquidity to decentralized exchanges for a specific pair of tokens. As the users provide the equivalent value of both tokens to the liquidity pool, reward them with a share of the exchange fee.
By providing our clients with strategy and advisory services, we help them gauge organizational readiness, anticipate the business impact, and devise a go-to-market strategy.
As developers and architects of DeFi's yield farming platform, we make use of our rich domain knowledge and expertise to design and build solutions for legal and compliance.
Our team implements the DeFi yield farming solution and approves updates and changes. We provide our clients with ongoing support and services to ensure that our solutions have tangible benefits.
Our DeFi Yield Farming Development Services are the best in the industry
We are a Blockchain technology company that excels in one area.
In order to ensure smooth and accelerated development and deployment, we deliver customized products tailored to your target audience.
As a result, we provide extensive post-delivery services so that you can concentrate on growing your business.
Our 500 experts will help you refine your offering, suggest the best tech approach, and even help you set up campaigns and communities.
Frequently asked questions
It is true that some of the most popular DeFi Yield Farming platforms include Compound, MakerDAO, and Uniswap. These are not only allowing their users to earn lucrative rewards, but also earning huge earnings for their owners.
It depends on the features you want to incorporate into your platform. Let us know your business requirements, and we will explain the estimated development time for DeFi Yield Farming.
The DeFi yield farming platform can be launched by anyone. You only need the funds to develop the platform. Also, you will need to be clear about your requirements regarding the technical details of your product and your business plan.
Liquidity pools facilitate decentralized lending, trading, and more. Users, called liquidity providers (LPs), add crypto coins and tokens in a pool to create a market and get rewarded.
A yield farmer locks or lends out crypto assets via DeFi protocols in order to earn rewards such as interest, governance tokens, or other tokens that allow access to certain products/services at a discounted price.