Top 10 DeFi Crypto Projects to Watch in 2021

Are you ready for the next big thing in the world of cryptocurrency? Look no further than DeFi, or decentralized finance. DeFi is a rapidly growing sector of the crypto industry that is changing the way we think about traditional finance. With DeFi, users can access financial services without the need for intermediaries like banks or other financial institutions.

In this article, we'll be taking a look at the top 10 DeFi crypto projects to watch in 2021. These projects are pushing the boundaries of what's possible with DeFi and are poised to make a big impact in the coming year.

1. Uniswap

Uniswap is a decentralized exchange (DEX) that allows users to trade cryptocurrencies without the need for a centralized exchange. Uniswap uses an automated market maker (AMM) system that allows users to trade tokens based on a mathematical formula. This means that anyone can become a liquidity provider and earn fees for providing liquidity to the platform.

Uniswap has quickly become one of the most popular DeFi projects, with over $2 billion in daily trading volume. With the recent launch of Uniswap V3, which introduces new features like concentrated liquidity and multiple fee tiers, Uniswap is poised to continue its growth in 2021.

2. Aave

Aave is a decentralized lending platform that allows users to borrow and lend cryptocurrencies without the need for a centralized intermediary. Aave uses a unique system of "flash loans" that allow users to borrow funds without the need for collateral, as long as the loan is repaid within the same transaction.

Aave has quickly become one of the most popular DeFi lending platforms, with over $2 billion in total value locked (TVL). With the recent launch of Aave V2, which introduces new features like credit delegation and gas optimizations, Aave is poised to continue its growth in 2021.

3. Compound

Compound is a decentralized lending platform that allows users to earn interest on their cryptocurrency holdings by lending them out to other users. Compound uses a unique system of "cTokens" that represent the underlying asset being lent out.

Compound has quickly become one of the most popular DeFi lending platforms, with over $3 billion in TVL. With the recent launch of Compound V2, which introduces new features like COMP token incentives and gas optimizations, Compound is poised to continue its growth in 2021.

4. MakerDAO

MakerDAO is a decentralized lending platform that allows users to borrow a stablecoin called DAI by using their cryptocurrency holdings as collateral. MakerDAO uses a unique system of "collateralized debt positions" (CDPs) that allow users to lock up their cryptocurrency as collateral and mint DAI.

MakerDAO has quickly become one of the most popular DeFi projects, with over $2 billion in TVL. With the recent launch of the Multi-Collateral DAI system, which introduces new collateral types and governance features, MakerDAO is poised to continue its growth in 2021.

5. Curve

Curve is a decentralized exchange (DEX) that specializes in stablecoin trading. Curve uses an automated market maker (AMM) system that allows users to trade stablecoins with low slippage and low fees.

Curve has quickly become one of the most popular DeFi projects, with over $1 billion in daily trading volume. With the recent launch of Curve V2, which introduces new features like liquidity gauges and gas optimizations, Curve is poised to continue its growth in 2021.

6. Yearn Finance

Yearn Finance is a decentralized aggregator that allows users to earn the highest yield on their cryptocurrency holdings by automatically moving their funds between different DeFi protocols. Yearn Finance uses a unique system of "vaults" that automatically allocate funds to the highest-yielding DeFi protocols.

Yearn Finance has quickly become one of the most popular DeFi projects, with over $1 billion in TVL. With the recent launch of Yearn V2, which introduces new features like yield farming strategies and gas optimizations, Yearn Finance is poised to continue its growth in 2021.

7. Balancer

Balancer is a decentralized exchange (DEX) that allows users to trade cryptocurrencies with customizable liquidity pools. Balancer uses an automated market maker (AMM) system that allows users to create their own liquidity pools with custom weightings.

Balancer has quickly become one of the most popular DeFi projects, with over $500 million in TVL. With the recent launch of Balancer V2, which introduces new features like gas optimizations and liquidity bootstrapping pools, Balancer is poised to continue its growth in 2021.

8. Synthetix

Synthetix is a decentralized platform that allows users to trade synthetic assets that track the price of real-world assets like stocks, commodities, and currencies. Synthetix uses a unique system of "synths" that represent the underlying asset being traded.

Synthetix has quickly become one of the most popular DeFi projects, with over $1 billion in TVL. With the recent launch of Synthetix V3, which introduces new features like binary options and gas optimizations, Synthetix is poised to continue its growth in 2021.

9. SushiSwap

SushiSwap is a decentralized exchange (DEX) that allows users to trade cryptocurrencies with low fees and high liquidity. SushiSwap uses an automated market maker (AMM) system that allows users to earn fees by providing liquidity to the platform.

SushiSwap has quickly become one of the most popular DeFi projects, with over $1 billion in daily trading volume. With the recent launch of SushiSwap V2, which introduces new features like BentoBox and gas optimizations, SushiSwap is poised to continue its growth in 2021.

10. Chainlink

Chainlink is a decentralized oracle network that allows smart contracts to access real-world data. Chainlink uses a unique system of "oracles" that provide secure and reliable data feeds to smart contracts.

Chainlink has quickly become one of the most popular DeFi projects, with over $10 billion in total value locked (TVL). With the recent launch of Chainlink V2, which introduces new features like off-chain reporting and gas optimizations, Chainlink is poised to continue its growth in 2021.

Conclusion

DeFi is a rapidly growing sector of the crypto industry that is changing the way we think about traditional finance. With these top 10 DeFi crypto projects to watch in 2021, we can see that the future of finance is decentralized and open to anyone. Whether you're looking to trade cryptocurrencies, earn interest on your holdings, or access real-world data, there's a DeFi project out there for you. So, what are you waiting for? Get involved in DeFi today and see what the future holds!

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