Nowadays, the cryptocurrency world has become a hub of huge profits. Many new startups and entrepreneurs are entering the market with potential DeFi business ideas. Any startup that wants to start a cryptocurrency business can join any DeFi business. But have you ever thought about how to make money with DeFi platforms?
Not only you but everyone else has the same question going through their mind. The general consensus is that there aren’t many ways to make money on DeFi platforms. This is like an illogical myth. DeFi also has a variety of business ideas that can help new startups and entrepreneurs make money. If you are also curious about DeFi monetization technology, please visit this blog.
We have provided a complete guide DeFi Business Ideas And how they make money. First, let’s take a closer look at DeFi, or decentralized finance.
What is DeFi?
DeFi, or decentralized finance, is an umbrella term for applications or platforms that allow users to conduct cryptocurrency transactions in an open and transparent manner. The financial system was introduced to break the traditional banking and brokerage system. Cryptocurrency users prefer DeFi protocols because of their decentralized, permissionless, and transparent nature.
This has become a golden lottery for startups passionate about cryptocurrency to enter the DeFi business to make more money. If you want to start a DeFi project, we offer a variety of monetization strategies through DeFi.
How to make money with DeFi?
The cryptocurrency space is pouring millions and billions of dollars into startups through a variety of means. According to the latest statistics, the global DeFi market capitalization in 2021 is $11.9 billion and is expected to reach $232.2 billion in 2030.
This shows the forward-looking advancements DeFi platforms are aiming to achieve. Therefore, you can make enough money by investing in DeFi platforms. So without further ado, let’s take a quick look at how to make money with DeFi.
Decentralized Exchange
The first and most important business idea of any startup is Decentralized exchange platform development. By building a DEX platform, startups can gain global publicity and profits. Some of the ways to make money with DeFi platforms include:
- exchange fee – DEX platforms charge a smaller amount as swap fee for each swap transaction. Swap fees change depending on cryptocurrency tokens, quantity, and price changes. This is the main source of revenue for decentralized exchanges.
- Staking Fee – Each DEX platform utilizes its own unique staking method strategy to earn money with DeFi. Staking allows users to earn higher interest, but how does the platform help you make money? Users can earn more through the staking method, but if they try to break the bonds, the DEX platform will fine them with fines.
Since the cryptocurrency market is unstable, many people choose to quit staking bonds, which opens the way to making money with DeFi. Popular DEX platforms Pancakeswap is leveraging this to make money.. You can enhance your staking policy depending on your earning strategy.
- IFO Launchpad – IFO or Initial Farming Offering is a popular method of cryptocurrency crowdfunding to raise funds for cryptocurrency projects. All startups looking to sell tokens efficiently approach DEX platforms. The decentralized exchange then promotes and sells those tokens to trusted users. To conduct a token sale, a startup will pay a significant amount of money.
- Token Listing – Users pay a fee to list their tokens on the DEX platform. This is considered one of the best ways to make money with DeFi. Additionally, DEXs gain trust and reputation through revenue.
DeFi payment gateway
In addition to decentralized exchanges, you can also invest in building a DeFi payment gateway platform. If you want to invest less and earn more, choose this business idea. Let’s take a look at the monetization streams of DeFi payment gateways.
- Transaction Fee – DeFi payment gateways charge certain fees to process cryptocurrency transactions. Fees may vary depending on the user’s cryptocurrency transactions.
- Premium/subscription fee – Many payment gateways offer convenient services to traders and users as premium services. Users can utilize it by paying a certain amount.
DeFi Wallet
A cryptocurrency wallet is an essential part of carrying out any cryptocurrency transaction. Users who want to manage their cryptocurrency assets themselves will choose to use a DeFi wallet. You might be thinking, how can I make money simply by providing a DeFi wallet?
- transaction fee – Administrators collect fees from users for cryptocurrency asset transfers and withdrawals. Cryptocurrency wallet managers can earn ongoing revenue from these fees.
- Staking Fee – Like other DeFi platforms, the wallet has also introduced a staking feature for its users. Users can stake cryptocurrency coins or tokens for future use.
- promotion – Collaborating with other platforms to strengthen your brand will help you generate sufficient revenue. These affiliate programs or partnerships allow wallet owners to earn money.
DeFi Collector
DeFi Aggregator is a platform where users can access various DeFi-related services. A variety of staking, yield farming, and liquidity options are available for DeFi users from a single interface. DeFi aggregators are a beneficiary hub for cryptocurrency users. Apart from this, it provides various revenue streams for managers.
- charge – In most cases, DeFi aggregators collaborate with popular DEX, staking, and lending platforms. These platforms are referred to users by DeFi aggregators. For recommending the platform, the administrator collects a certain commission or fee.
- Governance Token – Native or governance tokens are created and distributed to users to strengthen the ecosystem and participate in governance activities. Some DeFi aggregators create native tokens. As more users purchase that native token for crypto purposes, the value of the native token automatically increases as well. This allows managers to earn more. The popularity of tokens and platforms will also increase.
- Collaboration or partnership – In addition to mentioning, DeFi aggregators officially collaborate with other DeFi protocols to make money. The goal of the collaboration is to increase the revenue of more cryptocurrency ventures.
DeFi lending and staking platform
By using cryptocurrency assets as collateral, you can lend and borrow for various purposes. Users looking to meet their financial needs will try to get loans on these platforms.
- Interest Rate – Platform managers charge interest rates for providing loans. This is the main source of revenue for managers. Additionally, lending and borrowing platforms charge fees for cryptocurrency staking.
- Loan Fee – The lending platform takes the sum of that amount before providing the loan to the user.
This is how you make money on DeFi platforms. Decentralization will be the next technology for everyone. So, now is the perfect time and solution for startups to make enough money. There are many ways to make money with Defi in the cryptocurrency space. But, you might think so…
Why choose DeFi for your potential cryptocurrency business?
While many cryptocurrency business ideas exist, DeFi platforms offer startups massive revenue, global support, and long-term success. People around the world are now aware of the impact of blockchain technology and cryptocurrencies. Now is the time to close the deal because revenue stream is the motto of every business.
You can choose the best DeFi business and earn sufficient profits from it. Finding a reputable DeFi development company is essential to developing a rich DeFi platform. Check out our expertise, experience, portfolio, and developer team size to create feature-rich DeFi projects.
With over 8 years of potential service in the cryptocurrency space, Coinsclone is best suited to serve DeFi projects. Our team focuses on providing our customers with a 100% success rate.
Why Choose Coinsclone for DeFi Development Services
CoinClone is a leading DeFi Development Company This is a company that provides all DeFi-related development services. Our developers, experts and technicians have ample expertise and experience in developing DeFi projects. We provide white label solutions and replication scripts for decentralized exchanges. Our team is here to help you turn your Defi dreams into reality.
Besides that, we also provide DeFi smart contract development, DeFi aggregator development, DeFi smart contract development, etc. We have a 24*7 support system for immediate assistance and maintenance, so you can contact us at any time. If you would like to know the details of our services, please contact our developer team. Download the free demo immediately and join us for success in the cryptocurrency space.