As the hottest vocabulary in the blockchain world over the past two years, DeFi is the abbreviation of Decentralized Finance. It usually refers to encrypted assets, financial smart contracts, and agreements built on smart contract platforms(such as Ethereum). DeFi does not specifically refer to a certain product, company, or project, but a concept and a collective name built under this concept. It is a revolution that enables users to use financial services such as payment, conversion, and lending without a centralized entity.
Compared with traditional financial institutions, DeFi inherently integrates the edges of the blockchain system. It’s decentralized, and will not be restricted from using corresponding services due to race, age, nationality, or geographic location, thus broadening financial services and lowering the threshold of financial services; Most DeFi applications are open source, highly transparent, and publicly auditable, which dramatically reduces various systemic risks caused by traditional financial institutions due to insufficient regulatory transparency.
As one of the earliest blockchain internet financial tools, RADR is committed to making finance simpler. Now, RADR users can freely make all kinds of token payments, transfer exchanges, and other financial activities on the RADR network. We can describe RADR itself as a full-featured DeFi system. But it’s not enough. We plan to go further and enable RADR to embrace a broader DeFi ecosystem.
We may start with WVBC. It is the ERC20 token of the VBC issued on the Ethereum network and can be exchanged with VBC at a ratio of 1:1 whenever you want. The WVBC converted from VBC will flow into the Ethereum network for circulation and will take full advantage of various Ethereum-based DeFi applications. For more exchange details between VBC and WVBC, please refer to Radr wiki technology article VBC/WVBC Exchange.
With the help of WVBC, users can perform many activities that were impossible outside the RADR network:
1. VBC Circulation On the Ethereum Network
After converting the VBC into WVBC tokens, the VBC enters the Ethereum network for circulation.
As VBC and WVBC can be converted at a ratio of 1:1 at any time, users can securely store the value of VBC on the Ethereum network and even obtain the issuance proceeds of RADR if linked to a RADR account.
Users can make WVBC transfer on the Ethereum network easily through the ERC20 token protocol, regardless of whether the receiver has a RADR account. Therefore, more users will enjoy the RADR services and bring more vitality to the RADR network.
2. VBC Conversion In Decentralized Exchange
There are some exchange DeFi services on Ethereum, such as Uniswap. With the help of WVBC, we can easily make VBC conversions in these decentralized exchanges (For more DeFi exchange actions, see https://wiki.radarlab.org/en/defi/uniswap_101/). It will further increase the liquidity of VBC and increase its channels for the inflow and outflow so that RADR players can trade assets more conveniently and safely.
3.Participating in A Broader DeFi Ecosystem With VBC
The DeFi ecosystem is changing, and new services are emerging. With the help of WVBC, VBC may easily participate in various DeFi applications that support ERC20 tokens and enjoy the dividends of DeFi anytime and anywhere.
The financial system of the entire world will inevitably move towards DeFi, and it is an irresistible trend of history. We believe that as the RADR ecosystem plays a much more proactive role in the DeFi world, it will create greater value for our users.