Gate.io AMA with Defichain-Native Decentralized Finance for Bitcoin

Time: Oct 18th, 2022, 13:00 UTC
Gate.io hosted an AMA (Ask-Me-Anything) session with the ambassador of DeFiChain, Santiago in the Gate.io Exchange Community.
Official Website: https://defichain.com/
Twitter: https://twitter.com/defichain
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Guest

Santiago — DeFiChain Ambassador

Q&A from Gate.io

Q1: Can you give us a short introduction to yourself?

Santiago: Hey guys! My name is Santiago, I have been part of the DeFiChain Community since day one. I started investing into crypto in 2018 - after watching and studying everything around cryptocurrencies from 2016 onwards.

I studied math and after hanging around with DeFiChain Community, I started my journey as an entrepreneur within the crypto space.

I am not a founder of DeFiChain, I am engaged in some projects on the blockchain. I am the co-founder of DeFiChain Accelerator, which is a community funded project to help push DeFiChain forward. We are in charge of partnerships, exchange listings, marketing & other things you normally need a central party for. We are also developing and maintaining a web wallet called Jellywallet.

Q2: What is DeFiChain?

Santiago: DeFiChain is a blockchain dedicated to revolutionizing the DeFi space by changing the architecture of smart contracts. DeFiChain makes real world assets tradeable in a decentralized way. We have so-called “decentralized assets”, tokens that represent all different kinds of asset classes!

DeFiChain is a dedicated blockchain that builds on top of Bitcoin and sticks to the same principles.

Q3: What makes DeFiChain unique?

Santiago: We stick to Bitcoins non-turing completeness - which maybe sounds a bit abstract or technical but in easy word it means that we greatly simplify smart contracts, limiting the attack surface.

We are trying to solve one of the biggest issues we see in the DeFi space. People are losing money through rug pulls, smart contract issues or simply believing in some tokens that have no real use case despite being a governance token.

On DeFiChain, there is just one token for everything. DFI is our native governance token for our decentralized exchange, it’s used for our decentralized loans and for our consensus mechanism, since DeFiChain runs on proof-of-stake.

It is also the bridge and gateway to our decentralized assets.

To sum it up: we offer everything you can imagine in the DeFi space, everything on one chain without any hopping between protocols. Everything natively, builds on Bitcoin.

Q4: Can you elaborate on the decentralized assets available on DeFiChain?

Santiago: DeFiChain is all about decentralized assets, like decentralized stocks, commodities and ETF’s. We tokenize those assets and make them tradeable. We are basically trying to bring derivatives to the blockchain industry, fully decentralized and aligned to Bitcoins principles.

We have our native decentralized exchange offering all those assets. We have decentralized loans and we are right now working on decentralized futures and perpetuals. All those features are connected to our decentralized assets.

Crypto has banked the unbanked. DeFiChain is now the broker for everyone who has no access to traditional assets.

We do this by mirroring prices to those asset tokens. The principles behind it are a bit more complicated to explain here, but it’s very interesting to learn about it.

Q5: Does your great project support staking programs? If yes, how does your stake system work, what is the requirement for users if they want to stake in your platform?

Santiago: I am often wondering why people do “fake staking” on protocols that have nothing to do with the real consensus mechanism of a blockchain. If you look at Ethereum 2.0 for example, you can stake your ETH because it is truly needed for the consensus of the blockchain.

Most other protocols just use the term “staking”, while just inflating and giving out their token. On DeFiChain, the only purpose of staking is to participate in block creation, validating transactions and really earning block rewards.

We need it for the blockchain to run properly and everyone who participates is providing a service for the whole community, which is valuable and needs to be rewarded.