The Power of #DeFi and #NFT

By zhephoi | Crypto Rhythms | 27 Sep 2020

#DeFi alone is quite complex already in my honest opinion; but what if you integrate it with #NFT? Quite the complex scenario here. But then again, it might just have the right twist given the right people for the job.

What is #DeFi?

“This is very complicated for ordinary users, and it is equally complicated for people who have been in this circle for a few years.” -Haozhi Chen

If you are into crypto, you've definitely heard about this crazed everyone in the crypto industry is talking about. It's practically the trend of crypto 2020. It is Decentralized Finance or better tagged as #DeFi. So what exactly is this #DeFi trend? Well, to start off #DeFi can be truly intimidating and quite complex but like everything out there, it can be understood given the proper tools. To put it simply, #DeFi is by far, one of the fastest growing sectors in the blockchain and cryptocurrency ecosystem.

It's true that a lot of investors are attracted to it but mostly half of them know exactly how the system works. #DeFi protocols are written as simple(complex) lines of codes which run exactly as they are programmed to. Any malicious changes, it gets known to the public immediately. One of the many strengths of #DeFi is that it operates with zero censorship.

So what exactly is it that #DeFi is trying to change? Good question! Well #DeFi is practically trying to bridge the gap between the financial system and the people. It's merely opening up opportunities for people to access financial institutions without restriction whatsoever. #DeFi has certainly revolutionized over the past couple of months. It's growth was so rapid that not everyone was able to cope up thus some end up just following whatever #DeFi project is shilled to them. This is where Cocos-BCX comes in.

What is an #NFT?

An #NFT is an amazing form of collateral, better than a Rolex watch. No one can know for certain whether that watch is authentic. And when you can determine the value of collateral, instantly, at no cost, it is just *unimaginable* what that means." - WilliamEQuigley

#NFT stands for Non-Fungible Token, others also refer to them as Nifty. It's something that is unique. It's practically something you own virtual/digitally. Get the idea?

Think of it as like any digital item that has digital ownership imprinted on it. #NFT's were originally used on gaming platforms such as CryptoKitties and Decentraland. #NFT's can either be used via crypto art, crypto gaming and as simple as a crypto collectible.

So what exactly does it benefit me having an #NFT? Another good question! Think of it this way, if you are a gamer and you have been playing this game for awhile now and it suddenly shuts down, all your items that you've been collecting and harvesting are gone - forever. It hurts right? Experienced that first hand so I'd know. Well this is where the magnificent magic of blockchain happens. With an #NFT, you can TRULY own an item. All yours. It resides in the blockchain system under your specific address even after the game is gone.

Same concept applies with #NFT digital art. People buy art for reasons some may not understand. But owning a rare piece of art in the real world costs a fortune hence it also applies in the blockchain system. Any #NFT crypto art that is rare always ends up with a high bid. There's been a surge of interest with the crypto market when it comes to #NFT's as such, one crypto art was sold for over $55,555 (Trevor Jones’ “Picasso’s Bull”) And guess what? Cocos-BCX has been integrating #NFT for a while now.

Where does Cocos-BCX fit into all these?

Cocos-BCX has integrated the two: #NFT + #DeFi. Cocos-BCX proudly presents the first #DeFi project of the Cocos-BCX ecosystem.

It's full name is $Cocos Financial Share or CFS. No pre-mine. No overissue.

Two main features of CFS is that:

1. To use #NFT as a mortgage certificate for mining.

2. To manually set the handling fee. For every 1% of handling fee, the pledge amount can be doubled to increase mining weight.

To put it as simply as possible, Cocos-BCX plans on giving them value and at the same time try to turn #NFT into a #DeFi pledgeable asset. Cocos-BCX is tagged as the next-generation digital game economy platform, with that in mind, the team has made a lot of effort and accumulation in the #NFT field in the past three years. Not to mention going further and integrating with the ever evolving #DeFi sector.

The Cocos-BCX has conducted a ton of research on lots of #DeFi projects as of late. The Cocos-BCX team believes that to recognize #DeFi’s full contractualization and potential, one must dive deep and learn it wholeheartedly and with passion.

“Imagine if the future game system can be completely transparent and the contract mechanism is pre-set, this may be another world for players. When the total amount of game items is limited, the source, transaction, and use become completely transparent and traceable. There will be great changes in the player’s experience, and these changes may take effect gradually in 3 to 5 years.” -Haozhi Chen

For more details, feel free to check posts below.

https://medium.com/@CocosBCX/in-defi-field-cocos-bcxs-ace-is-the-nft-standard-and-its-cross-chain-asset-gateway-13039ead112a https://medium.com/@CocosBCX/mr-haozhi-chen-cocos-bcx-is-trying-to-turn-nft-into-a-defi-pledgeable-asset-b7bf05829c8c

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