Bitcoin Forum

I will like to keep this simple and short, you want to invest in DeFi projects? Yea they are the best presently in terms of fast growth and adoption but watch out for new DeFi projects because they are probably scam, you want DeFi project? Look into those that's been around since 2018 or max 2019, not all newly launched DeFi projects starts development in 2020, DYOR and Play Safe.

Not bad, fresh DeFi projects will be too risky because scammers have already gotten their eye on the use case, most successful DeFi projects presently have been around since a year or two now, if you want to invest I suggest checking the date they've been in development or existence

I'm not yet interested investing in DeFi. They are too many to choose and there are also those CeFi which are more common than the defi's that we have. I'm not belittling the DeFis but in terms of popularity, I think both are being par.
I think time will come and DeFi's will be ripe and just like the ICO days, this will become the new trend.

CeFi was a step ahead of DeFi projects before DeFi becomes interesting to investors and now I think they are a bit ahead of CeFi, all in all it's all about profit making isn't it? It doesn't have to be from CeFi or DeFi projects, any project can give good ROI

Thanks for the advice, investors are fast learner, ICO days have thought many and till date it's still in the blood, DeFi is very popular and up growing presently, it's assured that scammers will want to take advantage, that's sure but investors knew already

In our situation, it's good that we have both of those. We are free to choose whether it will be cefi or defi and that all depends to your concern. I didn't have any investment with them but right now, I'm still trying to study how will I earn better with them.
Since there's no guarantee for bigger returns but as long as it's a legit and smaller amount, that's better.

Currently, Defi is overhyped and wit hype FOMO follows. Incredible returns till date from most of the top DeFi projects does not mean that others will do the same. The top 5 Defi projects with the highest ROI (http://"https://cointikka.com/top-5-defi-tokens-with-highest-roi/") still have a USD value of less than $5. If you want to ride the boat of the highest ROI you still can with these projects.

I have such concerns as well as there are a lot of defi projects popping up but can you please name some confirmed scam projects in this category, I am just asking for the awareness of the community here.

For safety precautions it's better to invest on DeFi projects that aren't knew but I believe there will be new DeFi projects that aren't scam too, it's all about how good you are with your researching skills

New idea will always gets hype so it will give opportunity for short term investors on legit projects to make money but long term is still unpredictable and on the other hand lot of scammers will also trap investors with the idea of defi so make sure we are investing after done enough research on the project, team, community and lot of other factors.

Old DeFi projects are pretty safer, they don't know that DeFi will be huge this year so no scam plan, still I recommend doing your own research before choosing any projects, remember that Devs and team are human too, they might have a change of heart

You make a good point since Defi project is making waves these days and the crypto scammer will also use the Defi strategy to scam people sooner or later but the long existence of a project in the market cant also be used to judge the future success of a project and what's important now is for crypto investors to develop their knowledge in knowing how to select genuine project.

I like the Defi project and have invested in one of the Defi projects whose development is quite promising. At the moment, the Defi Project that is quite interesting to me is Chainlink because it is successful in terms of growth. Well recently Link prices reached new ATH

Most people try to play safe by investing in those DeFi projects that have been in the space for a long time, but do you know that they also started from somewhere. The same is what is happening to those that are new. Although, I would not advise investing without knowing well enough about the DeF project. Now that DeFi projects are succeeding and people expecting so much from them. Some even believed that Defi will aid the bull run. It might be surprising that cameras might adopt the strategy. They are always after new things and use that as baits for investors.

I do not know of any user centric success of defis as yet because they offer even less than 1% returns annually for providing them with eth which is insanely low and small investors cannot benefit from this and only big exchanges and investors having thousands of eth are enjoying by parking idle eth and making daily returns.
Once the conditions improve and returns increase significantly only then it can be adopted by masses in real sense.

The new Project DeFi they play hit and run on average. I consider it a good moment too if you can start early before the listing market to get more profits but the risk is also high because they do not know if they cheat and run away.
still everything is still vulnerable but still accept the risk if you want to get profit. and it's true that DeFi is now a project that might enrich us today in this pandemic.

I would not bet big on DeFi. All financial systems based on Stablecoins based on the exchange rate of the dollar, having manual control and administration are subject to the risk of loss of financial assets. DeFi is not an exception. SEC proved DeFi could be the following https://decrypt.co/35532/sec-killed-icos-defi -could-be-next (https://decrypt.co/35532/sec-killed-icos-defi -could-be-next)

yes, there is no reason to jump into new projects

Investing is better and safer when you invest on old and well known projects, though there are still new project that will surely do well with time but to be on a safer side, i also prefer old projects.

Well if one looks around and from past experiences as well starting from ICOs, there is every reason to agree with you. Most Defi projects which has been around before now can be a good investment choice at the same time while some upcoming Defi projects can be trusted but however only very few in this case; because scammers leverages on hype to carry out their plans and Defi has given them that opportunity. Also, if one want to hold Defi projects for long term, I would strongly suggest old projects but for this new ones the risks associated with them might be too much for long term holding.

Can someone explain to me why is DeFi so hyped? In principle, the term describes nothing more than what crypto has been stood for since the emergence of platforms such as Ethereum, a decentralised payment ecosystem.

You're right, I can still understand backed in 2016 to 2019 when ICO, IEO and STO were onboard, the first sects of these projects went successful and later-on they fell into the hands of the scammers, who now used them for scam. Basically, this defi projects will surely take the same roots  like the above and the only solution is, don't be anxious to make investment with new defi projects because they could be from scammers.

DeFi is the real deal now no doubt about that. With the level of support DeFi projects are receiving from the community now, I will not be surprise if scam DeFi projects are coming up from different angles any moment from now. Indeed we need to be very careful about investing in DeFi projects now.

DeFi is doing big right now, every crypto news platform is talking about DeFi projects and their success, its possible that DeFi will bring ethereum price to a certain point, I'm thinking 400$ ? It's possible, if this up trending keeps going on this will be big than what ICO did in 2017

Yes, I understand, because of the high enthusiasm or intention of people to invest in this recent fi fi project due to the success of some of the fi fi projects, many de fi projects have sprung up, and I'm sure most of them are not safe.

truly to say, i'm often invest in defi, especially in promising/credible dex projects. i think it's not like ICO/IEO - much more stable concept as for me.

indeed, sometimes Old is gold
so, an old defi project is more promissing than a new defi project
because the old defi project come before the hype on defi show up, and dyor is the best way to minimize the risk on crypto investments

I fully endorse your point and even a lot has changed after your post in the defi arena i would still suggest the new people here to only go with established and reputed projects as new projects possess bigger level of risks.

Defi is defi even those that started years ago. Look at the condition of these projects now and tell me what you observed. Sadly some project died years back but remembered to come back because of defi. Some changed usecase to defi and after fulfilling mission they died back and went to where they resurfaced from. Everyone should just becareful especially with defi. People are going out of it though.

I do not want defi, i want profits; most times investors and traders are not supposed to worry about blockchains or sort.s JUST figure out if a token is worthwhile enough to give you profits and go for it, this is a kind of principles i like, align and work with. Why focus on a single blockchain when several blockchain are available to give profits.

oh so u might be interesting in new stablecoin dex - xsigma, just announced and looks credible - they are backed by a public company

Presently I define DeFi as broken and unperfected, there are many scam DeFi projects and that's expected because it's a new thing in crypto space but DeFi are based on code when built and those codes aren't reliable, they are easily hacked, adjusted etc, even devs who practice DeFi easily swap smart contracts, the decentralized feature have been abused several times

OP did have a point, projects like Chainlink, Ferrum Network etc are already DeFi from scratch and they've around before DeFi hype started in 2020, such projects can be more trusted compare to new DeFi projects, 99% of DeFi projects today are from developers that are after the hype, make money and quit or abandon the project, that's their aims

I agree that DeFi projects existed before 2020, so we can choose old DeFi projects to make investment more safer.
Because new DeFi projects are now only copycat and mostly scams, so if you are interested in investing in DeFi projects,
it is safer to choose DeFi projects that already exist before 2020. I recommend investing in Chainlink which has been
released since 2017, so in my opinion Chainlink is a highly recommended DeFi project to buy.

cool maybe you'll give me some link/additional information about it?

You know you have a point there, defi has been in existence since 2018 but it was in middle of 2020 that the hype of defi project went crazy, for those defi project who have been around since 2018 and never create unnecessary hype to promote their project are the ones that really deserve investors attention because they are actually building something in the decentralize finance department.
make a good investment decision and not the one you might regret latter.

True, not everyone are looking into DeFi projects that's been launched before 2020 and they are more reliable than most new DeFi projects but there are few old projects that aren't DeFi driven from scratch but they have successfully switched to DeFi use cases, how will people be able to tell the difference? My point is even old projects can still FOMO on DeFi

https://xsigma-lab.medium.com/meet-the-brains-behind-xsigma-defi-d2e89928f3f7 I read here, but you can google them))

See, the OP pointed this out last July and after that we have so much hype in Defi. But with so many hacks and scams, I would say that it has died down already. And people have moved on, but I wouldn't be surprised to see another hype coming in like Defi and then the cycle will repeat itself.

You can go around this board and see the history of hacks and how big money is this criminals are taking. So it's better to just stick to the top 10 altcoins for now instead of being eaten by this hype.

i thought the oldy on your title is name of a coin or the coin itself but it looks like you mean older coins . i like this better than a coin named oldy if ever it existed  ;D but you said defi that starts in 2018 , are there already defi on that year ?

 because i think defi have started on the late 2019 and it only peak at the middle of 2020 but now that 2020 is closing the defi seem to do the same . too bad that old defi are getting affected by the new and scammy ones .

That is the fun of it though don't you think! it shouldn't be the same old project all the time if not the whole market won't have new investors and new hype to push the market cap to the next level, but what is important is look out for those project that are truly genuine and have what it takes to push forward through all odds, because the crypto space is tough the competition is high and not all dev have the stomach to stand the heat. most of them just bail out and leave the investors hanging.

In my opinion, this Defi is very good and also very potential. Many Defi coins are indeed outstanding and can even be in the top ranks, rivaling ethereum in the market cap list. So I plan to invest in Defi.

That is true, investing in old DEFI coin reduce much risk,  because there is very little scam coins in the old coins, scammers tend not to waste time and cost on old coins, as is well-known, on account of new projects are easily deceived. ;D

There are some projects who fake their existence. A lot of projects I had encountered already that told they started a decade ago and presented it on their website yet it was a fraud. The existence of defi projects for me is just like the hype of ico. They are just good at first specially that defi is really a noisy think in the environment of crypto nowadays. But all of the trends are decaying, so I guarantee you guys that tomorrow or in few weeks, they will fade again. Defi is the fresh news today, let us take advantage what it brings to the community until it despair.