TRON announced that it will enter into a strategic partnership with Reef, in order to create deeper liquidity options for anyone who is interested in the DeFi space. While DeFi is growing in popularity, the back end of the system isn’t keeping up.
With this move, Reef users will be able to directly access TRON’s DeFi ecosystem via the Reef platform, which is the first cross-chain operating system that was built on Polkadot.
The simple fact is – while DeFi has exploded in popularity, the infrastructure to make the systems operate is lagging. Ethereum has become an expensive option for anyone who wants to enter the DeFi space, which is one of the issues that TRON and Reef are working to solve.
As a multi-source DeFi aggregation platform, Reef is well placed to take full advantage of TRON’s existing DeFi ecosystem. Reef combines both Centralized Crypto Exchanges (CEXs) and Decentralized Crypto Exchanges (DEXs), to offer its users the best options for trading tokens.
TRON & Reef To Make Transactions Fast and Inexpensive
The level of decentralization that DeFi offers is great from the standpoint of an accessible ecosystem, but from a trader’s perspective, it can be very challenging.
Reef creates a solution for anyone that needs to take a market-level view of the DeFi landscape and make informed decisions when they buy and sell assets.
Denko Mancheski, the CEO of Reef Finance, commented,
“This partnership with TRON is an extension of Reef’s efforts to collaborate with the biggest players of the DeFi world. With the aim of providing curated yield opportunities on leading DeFi platforms all under one roof and establish the platform as the easiest way to get into DeFi…Reef’s users will now be able to seamlessly participate in utilizing the TRON Network and utilize TRON’s rapidly growing DeFi platform, helping usher in mainstream DeFi adoption”
Platforms like Reef will be a vital part of connecting the DeFi ecosystem with exchanges that may offer better liquidity, and also with large investors who act as stand-alone liquidity centers.
Next Generation Liquidity
The ideas behind blockchain are sound, but as platforms like Ethereum have gained a tremendous user base, the flaws in PoW systems have manifested in super high transaction prices. Clearly, this isn’t going to be sustainable, and both Reef and TRON know that better options need to come into the marketplace.
Justin Sun, the founder of TRON, told media,
“We are excited to expand TRON’s DeFi potential by partnering with Reef Finance to bring its smart liquidity aggregator and AI-driven recommendations to the TRON DeFi ecosystem…I truly believe that DeFi is the answer to the flaws in the current financial systems we rely on and this partnership brings us one step closer to lowering the barrier to mass adoption”
Reef not only connects its users to CEX and DEX liquidity, but it also uses a smart AI to help investors get the most from their capital. With these tools, the best deals are found, and capital flows to where it will create the greatest returns.
TRON’s blockchain is far less likely to experience a rise in prices, as it is based on a Delegated Proof-of-Stake (PoS) system. As Ethereum works to upgrade its platform to a Proof-of-Stake (PoS) system, the door is being left open for other platforms to enter the DeFi marketplace, and solve issues like sky-high transaction prices.
Reef and TRON certainly have the ability to innovate how DeFi operates, and also to give investors of every size a way to access an emerging asset class that may be the next frontier in global liquidity.