Crypto Market Sinks Below $1 Trillion: Time to buy and try. RioDeFi on the Polkadot Train (Part 1)
-By Dwulf, RioDeFi BlockChain Director
Down But Not Out
Centralized systems are taking a major hit. Celsius, CoinFlex, Voyager to name a few are freezing or restricting withdrawal and account usages, the centralization behind the decision making being a core issue blockchain and cryptocurrency aims to circumvent.
This is becoming a common problem, turning many away from crypto options. However, I would push people away from investing in centralized crypto-systems.
I have seen issues with KYC creeping up submitting personal data social security numbers, and personal details have complications when keeping your identity private.
This information is required to operate an exchange account, but this causes your privacy to be exposed.
It is important to keep the details of your identity private and centralized exchanges do not help in keeping your data safe.
RioDeFi, the option that shines amidst the chaos
Keeping in mind the problems of the centralized debacle, transactions being frozen and the capital put into the centralized systems being in the unilateral control of the centralized exchanges.
This creates big trust issues that RioDeFi addresses right away. First and foremost, being the collateral systems in place. Everything matches with Polkadot and derives from layer 0, like Polkadot, and its mechanism for earning yield through staking. Acala is already taking advantage of this, converting DOT to LDOT at around 14%.
RioDeFi is building up its validator pools and currently is having plenty of room to grow. Validators operate like the validators from Polkadot, validating blocks, and providing a kickback of rewards to accurate and truthful validation of the blocks it produces. Subject to be slashed (a reduction of rewards), if any validator deviates from its integrity or goes off the line.
This forces honesty, as it creates an incentive to play correctly.
(To be continued in Part 2)