WOOFi: Bridging the Gap Between DeFi and CeFi

A decentralized exchange that is bridging the world of centralized finance (CeFi) liquidity to decentralized finance (DeFi), WOOFi is one of the most highly anticipated launches of this year!

WOOFi is a capital-efficient decentralized exchange (DEX) that is powered by institutional hedging and CeFi liquidity. Traditionally, decentralized exchanges have been forced to pay hefty fees and inflationary token rewards for liquidity providers in order to provide incentives. As a part of DeFi 2.0, WOOFi eliminates these hefty fees by allowing users to compare prices available on other platforms in real time. WOOFi is also implemented on multiple networks, thus users can execute trades across many networks without worrying about imbalanced liquidity pools.

Moreover, the user interface of this platform is extremely simple and straightforward. Two buttons allow users to choose between swapping or staking, all that is left after is for them to enter amounts to get quotes and compare prices.

This DEX relies on market data from the WOO network to be frequently updated on the blockchain in order to replicate CeFi conditions. WOOFi does this by leveraging Chainlink’s oracle technology, which is capable of maintaining consistent uptime even during the most volatile of market conditions.

By combining the technically superior Chainlink oracles with the rich market data provided by the WOO network, WOOFi is able to create customizable oracles based on institutional data.

WOOFi benefits users by offering better pathways for execution, as well as the ability to earn sustainable yields without risks of losses. They benefit DeFi protocols by providing cheap liquidity and the best possible quotes for trades and liquidation. Finally, they are extremely vital to crypto projects as they provide efficient cross-chain liquidity without the hurdle of needing to incentivize through inflationary means.

WOO prides itself in being the only platform with zero trading fees and deep liquidity. It has consistently aimed to solve two pain points facing crypto traders: fragmented liquidity and high spreads. Now, it can add its role as a bridge between the worlds of centralized and decentralized finance to the roster.

Considering the fact that decentralized exchanges have experienced rapid growth since 2020, with DEX monthly volumes exceeding $162 billion in May 2021, platforms like WOOFi are stepping in at the right time.

Each week, we compile the most important stories to shed light on crypto investment opportunities. Sign up for our newsletter and stay up to date on the latest happenings in the market!

Polygon Invests in “Decentralized Social Media” Initiative