THELOGICALINDIAN - CeFi and DeFi these two concepts assume to be actually adverse from the day they were created Especially at the moment DeFi in the cryptocurrency amplitude is growing day by day in agreement of bazaar cap and artefact assortment Will DeFi be a added avant-garde anatomy of banking account and eventually alter CeFi
The acknowledgment may be the opposite. Not alone will CeFi not be replaced by DeFi, but it is additionally alike the key to DeFi entering the abutting date of development. The acumen is due to the accepted difficulties and challenges faced by DeFi.
Compared with the long-existing CeFi, DeFi is an arising anatomy with circuitous business models and bulky operation processes, authoritative it difficult for users to get started.
Taking accord in clamminess mining as an example, users charge to download a decentralized wallet, admission to DEX, access the arrangement abode and wallet address, and consistently analyze Gas fees and benefits. A baby aberration in any one footfall may account a lot of losses to the user.
However, this is area the advantages of centralized exchanges lie. After abiding development and the advance of a ample bulk of resources, CEX, abnormally arch exchanges like OKEx, has congenital a complete and easy-to-operate system.
OKEx Earn has now chip several boilerplate DeFi projects, including Uniswap, YFII, COMPOUND and CURVE, etc., acceptance users to participate in DeFi mining or lending by 1-click. Besides, users don’t accept to pay an big-ticket gas fee back accommodating through OKEx.
Another above claiming of DeFi lies in hackers and scammers. Although this is a accepted botheration in crypto space, for hackers, the arising DeFi teams with bound assets and ample amounts of bound funds are assuredly the best objects, the aforementioned for scammers, who will never absence any befalling to bamboozle property.
The access of the CEX with a aerial acceptability will barrier this phenomenon. Only through due activity will the barter adjudge to account or accommodate a DeFi project, which makes the projects that acreage on the centralized exchanges are added acceptable to be added reliable in agreement of technology and credit. After all, it is far added difficult to deceive an industry baton than to deceive retail traders.
In a nutshell, DeFi and CeFi are by no agency antagonistic: CeFi can advice DeFi advance faster and better, and DeFi has a bigger achievement in aloofness and innovation. Both accept their own fields.
About the Author: Jay Hao is the CEO and Chief Customer Service Officer at OKEx, a arch crypto atom and derivatives trading platform.
