Traditional finance may be facing faster technological disruption from DeFi than some observers would have anticipated.
DeFi rise against traditional finance
In just 12 months, Decentralized Finance (DeFi) exploded from close to zero to over $100 billion in total value locked. This initial growth was driven by the appeal of automated transactions without the need for any trusted central intermediary, based on auditable software directly implemented on the global public blockchain.
However, in spite of its growth, the majority of crypto trading still occurs on Centralized Exchanges, such as Binance, closely resembling their traditional, non-crypto counterparts.
Until today, trading on DeFi had suffered from relatively higher transaction costs and more limited trading functionality. But now, the gap is poised to rapidly close. Transaction costs were already set to dramatically decrease in the first half of 2022, with the planned shift towards the Ethereum Beacon chain.
Civilization, a step forward for DeFi
Finally, even the functionality gap is closing. Civilization, the first hedge fund entirely managed by its own investors, just released CivTrade, an audited product allowing the general public to execute Zero Impact Trades to maximise swap return and avoid dex hidden costs.
Launched on November 18th, CivTrade is the first product offering fully automated DeFi order book management and DeFi limit order trades: bridging the functionality gaps of decentralized exchanges, which had been traditionally limited to the execution of immediate market trades only.
This innovation is likely to initially disrupt crypto trading, but soon after the implications extend way above and beyond, into the world of traditional finance.
With Civilization’s innovative CivTrade solution powered by Chainlink Keepers, any trade on decentralized exchanges can use methods usually reserved for centralized exchanges. For example, CivTrade effectively introduces the ability to open “real limit trades” and create an order book, as traders would do on a traditional exchange, by specifying the target size and price of each trade and using custom-designed DeFi liquidity pools in the back-end.
Tomasz Wojewoda, Head of Global Sales at Chainlink Labs, commented,
“By using Chainlink Keepers, Civilization showcases how liquidity pools can become powerful tools for automating the execution of trades based on market conditions.”
CivTrade is a novel DeFi product that solves traders’ key pain points with DeFi: price impacts, slippage, fees and front-running. By defining the target size and price of each trade, CivTrade introduces the ability to open “real limit trades” and create an order book without hidden fees, just like traders would do on a traditional exchange.
Civilization and Chainlink Keepers integration
The integration of Civilization and Chainlink Keepers therefore enables easy and secure trade execution, automating all aspects of the trade while removing the majority of costs associated with DeFi trading via the Ethereum blockchain. In doing so, CivTrade is set to disrupt the $2 billion of funds being traded daily across decentralized exchanges, where both the visible and hidden costs had previously hindered overall market activity.
Sator Settler, a Co-founder of Civilization, says:
“Chainlink is the most reliable, visionary and exciting technology provider in DeFi today. Together, we are making DeFi easier and cheaper for everyone. For example, if an investor wanted to purchase 100 Ethereum worth of our token CIV, our tests show that they would receive up to 91.1% more tokens using our CivTrade compared to traditional swap systems.”
This integration of Civilization with Chainlink represents a major step on the road to making transparent, secure, and decentralized financial products and investments more accessible for everyone.
Civilization, also branded the Burning Man of Finance, is the world’s first Decentralized Investment Fund. CIV stems from the initials of Community Investment Vehicle: the world’s first fully automated hedge fund, owned and managed directly by its own investors. Start-up donations reached $1 million, with the aim for CIV to generate sufficient income to become self-sufficient from the smart contracts and Artificial Intelligence powering its Decentralized Investment Fund. It has now launched its first product, CivTrade, and aims to launch CivFarm and CivFund to make the benefits of Decentralized Finance accessible to everyone.
Chainlink is the industry standard for building, accessing, and selling oracle services needed to power hybrid smart contracts on any blockchain. Chainlink oracle networks provide smart contracts with a way to reliably connect to any external API and leverage secure off-chain computations for enabling feature-rich applications. Chainlink currently secures tens of billions of dollars across DeFi, insurance, gaming, and other major industries, and offers global enterprises and leading data providers a universal gateway to all blockchains.
Anyone interested in obtaining more information about anything included in this release or for press inquiries are encouraged to contact Sator Settler at [email protected] or visit civfund.com for more information.
Sator Settler is a co-founder of Civilization, a Decentralized Investment Fund, which created the Civilization token on July 31st of 2021.
Organization: Civilization, Media Page: https://civfund.com/media/
Contact: Sator Settler, Founder
E-mail: [email protected]