On Wednesday, Coinbase wallet announced it plans to integrate Defi apps on its platform for users to looking to invest their holdings and earn interest.
The wallet platform of the US-based exchange already had the feature for users to invest in defi platforms using DApps browsers or wallets for desktop.
A Welcome Move by Coinbase
According to Sid-Coelho-Prabhu lead of Coinbase Wallet, this new feature is done bearing in mind to ease the task of comparing the rates and total balances across different providers. He stated that going through multiple checks is a tedious task for its users, and in order to bring an end to it and offer a more customer-friendly platform, this step is being taken.
The wallet dashboard would not display the funds and users can use their wallets to check interest rates across various platforms.
The wallet has already made its way to the App Store and the android users will get the update in the near future too.
“With this new lending experience, you’re just a few taps away from putting your money to work. Pick a coin to lend, pick a smart contract, and enter the amount you wish to lend. Your crypto is then deployed directly to the smart contract to start earning interest,” Coelho-Prabhu explained.
By means of crypto collateral, these defi platforms lend loans to its users. Locking of 100 dollars of crypto on the blockchain, for instance, can give a user 50 dollar loan.
The DeFi loans are in hot demands these days, and even though they’re applauded for disrupting the banking system, they still carry massive flaws in the network.
When ethereum value deteriorated sharply recently, MakerDao was on the brink of collapse. The $1 million hacks led to bZx raising a lot of questions on the DeFi models.
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