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Why DeFi Is the Future of the Financial Market and How To Earn on It


Amid the financial market digitalization, analytics recorded active growth of the DeFi industry. Projects in the decentralised finance segment became a breath of fresh air in the world, vexed with the banking sector monopoly. We are sharing why DeFi is the future of the financial market and how to profit from it.

Why DeFi is the future of the financial market: 3 reasons

Crypto community members that actively utilise DeFi opportunities, name plenty of decentralised finance benefits. Let’s discuss the main areas that will help the sector to become the future of the financial market.

1. DeFi is cheap and fast

The projects of the decentralised finance segment offer way better lending terms than traditional banks. Moreover, to get a loan, it is enough to make an online request. The system will grant the loan automatically.

Let’s compare it with a typical mechanism for getting credit in a traditional bank. It includes identification of the client, examining the credit history, and analysing the proof of income. Making a decision could take a couple of days. This being said, the proposed credit interest rate will most probably be an unpleasant surprise.

Traditional banks formed a monopoly on the financial market. That is why credit organisations, in the absence of competitors, can dictate their terms.

When DeFi emerged, the situation changed. In decentralised finance, interest rates are regulated by the people. Their fairness is guaranteed by transparent competition terms among projects.

The DeFi popularity growth is apparent in the graph of the total value locked in DeFi projects:

Total value locked in DeFi projects. Source: DeFi Pulse

Experts are certain that the DeFi market can grow up to $800 billion already this year.

2. It is possible to remain anonymous in the decentralised market

In DeFi, it is possible to get or grant a loan without revealing the identity. Confidentiality increases the safety of the deal for the user. To be convinced of that, it is enough to check how many times lately there has been news about the data leakages from the traditional banks. With DeFi, the intentional rejection of collecting data allows protecting user data from leaks.

3. DeFi brings opportunities for passive income

In DeFi, it is customary to make money working for its owner. For that, there is a raw of tools available for the decentralised finance market participants. For example, they can grant other users loans for interest or lock in assets for protocol’s needs.

Interesting! In the DeFi community, the yield farming movement has surged in popularity. The goal of its participants is to earn as much as possible on decentralised protocols. For that, “farmers” monitor DeFi projects’ profitability and swiftly and constantly move assets from less to more profitable.

How to start earning on DeFi

DeFi is not only gainful, it is simple. Anyone can enter the decentralised finance market and start earning already today: from a newbie who sees the DeFi abbreviation for the first time to an experienced investor.

To hit it off with the decentralised finance market, it is needed to make an informed choice about the platform. It should meet several requirements, including the following:

  • Safety proof. Preference should be on the side of projects that passed audit;
  • A wide range of tools will help to reduce operational expenses;
  • Convenience and support for multiple languages.

Do not be amiss to learn more about the governance system of the platforms. The project should be controlled by users, and not by the centralised team of developers. Also, it is advised to explore the platform’s tokenomics. Developers should introduce elaborated support and token promotion mechanisms in the market.

In the market, there are several projects that meet those criteria. Among such projects, there is the multifunctional platform BaksDAO. Here are a few benefits of the project:

  • Intuitive and user-friendly interface fully translated into two languages: English and Russian. Apart from that, on the official BaksDAO website, users can find a video course that will help to gradually dive into DeFi and start earning on the opportunities of the decentralised finance market.

BaksDAO interface

  • It is possible to get a low-interest loan in the project’s native stablecoin BAKS. Moreover, it is possible to close the loan at any time. Also, it is very easy to grant a loan on the platform and start earning passive income.
  • The BaksDAO governance is entirely in the users’ hands. For that, developers launched the governance token BDV. Token holders can vote to make decisions on the project’s development. In future, it will be also possible to use BDV to pay off loans. In this case, the annual interest rate will drop from 11% to 5%.

Interesting! Developers distribute the portion of the project’s profits for BDV buyback and burning. Deflationary mechanisms support token value on the market by progressive regulation of the offering.

  • BaksDAO offers its users a transparent solution for asset management. With this goal, the platform locks assets on the smart contracts. The transactions are fixed on the blockchain. Depending on the deposit value, the system emits BAKS, which serves as collateral for loans. BaksDAO distributes profits from the transactions with the users who locked in their assets on deposits. Therefore, funds always remain under the owner’s control while they work and bring a stable income.

Important! At the beginning of January 2022, the project passed a safety audit by Solid Proof. The safety check guarantees that BaksDAO has no critical code vulnerabilities. In other words, users’ assets are in a safe place.

Also, the project’s developers created a foundation for the BaksDAO to become a project with social impact. To that end, the platform’s team distributes 25% of the revenues to the investments into ecological initiatives.


The decentralised finance market opens plenty of opportunities for earning. This fact makes DeFi the future of the financial market. Thanks to such projects like BaksDAO now it is easier than ever to start earning on DeFi. See for yourself>>>


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