HONG KONG, CHINA / ACCESSWIRE / August 12, 2020 / A blockchain-based project, DUCATO dubbed DeFi 2.0 is fine-tuning the narrative of the DeFi ecosystem with its innovative hybrid financial product that co, mbines the capabilities of a decentralized and centralized financial protocol to create deep liquidity, a user-centric platform and improves scalability in delivering a tailor-made financial lending product.
The cutting-edge innovation designed by DUCATO is coming at a time when DeFi is fast becoming a buzzword in and out of the cryptocurrency industry. With a booming industry sector comes a couple of challenges, DUCATO is assembling a suite of products that solves a wide range of challenges rocking the DeFi ecosystem.
At the time of writing, DeFi related activities were at a record high with over $4.43 billion locked in the protocol, with MakerDAO sitting at a staggering 31% dominance. Interestingly, the top 5 DeFi platforms account for an astonishing 82% of the locked value while the majority of the protocol is caught in the web of low liquidity.
From a broader overview, the protocol has suffered slow settlement time due to over-reliance on the Ethereum network. The Ether token accounts for over 98% of total assets locked in the protocol, which amount to a relatively slow transaction time and extreme fees whenever the Ethereum network suffers high congestion.
DUCATO Hybrid Protocol Mitigates These Impending Challenges
The DUCATO innovative DeFi protocol will be entirely decentralized with a pluggable centralized protocol that allows the platform to dip into the traditional market, thereby servicing the DeFi market with deep liquidity, consequently providing room for a wide range of assets to be used as collateral.
As a result, the hybrid protocol enables DUCATO to serve the ever-growing population in the traditional lending space, of which DeFi lending is only a minor fraction of the entire lending ecosystem. By letting borrowers use traditional assets like gold, real estate, and other hard assets as collateral, the protocol creates a robust playing ground for traditional lenders and borrowers to get involved in secured, decentralized lending space powered by blockchain technology.
To achieve this hybrid protocol, DUCATO is working with Delio, a global CeFi rental service provider that will provide the platform with liquidity and utilize DUCATO rental services, as an official family company.
All transactions on the protocol will be facilitated via a smart contract which will take place Onchain, allowing for a high level of transparency, ease of access, and a secured lending environment. This approach makes up for the drawback associated with CeFi services, which aren't entirely secured and transparent.
Ducato Protocol Token and Stable Coin KRWD Concept
The ecosystem is powered by two innovative tokens that serve distinct purposes: The Ducato's protocol token and stable coin KRWD that is pegged to the Korean Won.
The Ducato's protocol token is the transactional token on Ducato hybrid DeFi 2.0 protocol, it is primarily used for settlement of all fees incurred on the platform, and it is also the protocol's governance token. Token holders will have the right to participate in the decision-making process, voting, and proposition of changes to the platform.
By interacting with the platform, the protocol token provides cross-platforms support for existing DeFi and CeFi lending services globally.
KRWD, on the other hand, is a digital collateral-backed stablecoin that jointly powers the Ducato ecosystem, all transactions related to repayment of debt will be completed using the digital collateral asset-backed native token.
Anyone can leverage their asset as collateral and take up loans in KRWD. Whenever a debt is repaid, the associated KRWD is burnt to ensure that the number of KRWD generated in the collateralization process.
KRWD is deployed on the Ethereum blockchain, and the value of 1 KRWD is pegged to 1 Korean Won (KRW). The stablecoin asset relieve the problems of price volatility associated with Bitcoin and other cryptocurrencies.
Media And Other Important Links
Website: http://DUCATO.io/
Telegram channel: https://t.me/DUCATO_Channel
Facebook: https://www.facebook.com/DeFi.DUCATO/
Twitter: https://twitter.com/DUCATO_DeFi
LinkedIn: https://www.linkedin.com/company/DUCATO-defi/
YouTube: https://www.youtube.com/channel/UCB1p7-VVW51vEm02gQbb9vA/
CONTACT:
Name: David Lee
Email: support@ducato.io
Phone: +82 10 3773 5468
SOURCE: Ducato
View source version on accesswire.com:
https://www.accesswire.com/601401/DUCATO-A-DeFi-Protocol-With-A-Pluggable-Hybrid-CeFi-Network
