If you follow crypto or the finance industry in general, you must have come across the term DeFi or decentralised finance. This peer-to-peer blockchain industry is looking to fully decentralise transactions and give investors a chance to cash in on its growth in the near and long term. DeFi is seeing explosive growth. Check out these highlights:
In 2021, the DeFi sector grew by a whopping 1000% to a value of nearly $250 Billion
Before 2021, most DeFi products launched on Ethereum by more blockchains are opening up support
DeFi is expected to maintain the momentum of growth well into 2022 and beyond.
With this growth trajectory, every investor must be keen on getting a taste of DeFi. Here are two major projects to buy into and watch in 2022.
Aave (AAVE)
Aave (AAVE) launched for the first time in 2017. It was actually one of the original DeFi projects on the Ethereum network. The platform was known as ETHLend at the time but has since rebranded.
Data Source: Tradingview.com
Aave is basically a decentralised liquidity protocol that gives users the chance to borrow and lend a wide range of assets. The aim is to use the power of the blockchain to provide a level lending field. AAVE is the native token for the Aave protocol. At the time of publishing, AAVE was selling for $197.02 with a market cap of $2.3 billion.
Fantom (FTM)
Fantom (FTM) is an open-source protocol for smart contracts. The platform is also used to launch decentralised apps or DAapps and facilitate the exchange of digital assets with better speeds and low gas fees.
Fantom is hoping to rival Ethereum in this, and it has created a superb DeFi ecosystem that is set to grow even further next year. At press time, FTM, the native token on the platform, was trading at $1.55 with a market cap of $3.9 billion.
The post The best DeFi tokens to buy and watch in 2022 appeared first on Coin Journal.
