Magpie’s Nest
Your Gateway to DeFi or Safe Haven from Traditional Finance
Cryptocurrency and DeFi have taken flight around the world, spreading their wings and soaring to new heights. Both are not only revolutionizing finance but also making a big difference in developing countries as well as those in developed countries who are unbanked and underbanked and unserved by the traditional finance sector. Today, we’ll explore how DeFi creates opportunities and addresses financial challenges throughout the world.
Soaring Above Traditional Nesting Grounds
Just like birds building their nests high up in the trees, DeFi platforms help people reach new financial heights. These platforms eliminate the need for traditional banking institutions, allowing individuals to transact and save without being confined to traditional financial institutions and brick-and-mortar banks. With just a smartphone and an internet connection, you can spread your financial wings and engage in a range of DeFi activities, from borrowing and lending, to earning interest.
The less money someone has, the more likely it is that that person is unbanked (does not have a bank account) or underbanked (have an account but need to use other financial services to help pay bills). Worldwide, 1.4 billion adults remain completely unbanked, with 50% of those living in just seven countries, including China, India, and Indonesia and in the USA, 10% of adults are unbanked with 24% being underbanked. over $15billion annually is charged by banks to poor accounts for overdraft fees.
Most banks require proof of permanent address as well as personal information and government identification. Additionally, many banks charge customers if they do not meet minimum monthly deposits, charge fees for having low or no account balance, charge account overdraft fees, and don’t provide interest for money in the account unless a certain amount is held.
In DeFi, all you need is a phone and the internet, no need for KYC or proof of permanent address. DeFi also enables you to borrow and lend as needed, or stake any amount of crypto in order to earn interest.
DeFi: Guardian of Financial Security
In the face of political turbulence, DeFi can act as a guardian, providing a reliable and transparent financial refuge.
Just as birds protect their nests, DeFi protocols leverage blockchain technology to ensure transparency, immutability, and security. By utilizing smart contracts, transactions are executed automatically, preventing any interference or fowl play, sorry, foul play. Many countries experience corruption, hyperinflation, or other events that put strain on banks or the people.
In these situations, DeFi is a refuge. DeFi empowers individuals, allowing them to take control of their finances and attempt to weather the storm caused by such events. They can borrow and lend from others in crypto without needing access to or the credit history to borrow from a traditional bank. Making for opportunities they previously did not have access to.
Fly Above Inflation’s Reach
Inflation can feel like a flock of birds swooping down and pecking away at the value of a currency. But fear not! Cryptocurrencies, commonly used in DeFi protocols, offer a perch of stability amidst the chaos. Just like a sturdy birdhouse, stablecoins provide a safe haven, pegged to a fiat currency. This means individuals can transact with a digital currency that maintains its value, protecting their savings from inflation. They can even stake their stablecoins or other assets on different liquidity or lending platforms to earn passive income or help avoid inflation or their collapsing currency.
Welcoming Birds of All Feathers
DeFi has a wide wingspan, inviting birds of all feathers to the party. According to DataReportal, people in developing regions have flocked to cryptocurrency as a way to financially free themselves. Those who are unbanked or underbanked can access DeFi financial services where they would otherwise be limited by traditional banking, opening the doors to financial inclusion and freedom.
In DeFi, anyone can borrow, lend, stake, provide liquidity, send money to friends, family, or even use their crypto at businesses that accept it (which increased 50% in 2022).
At Magpie, we’re all about helping secure the future of finance: DeFi. We’re noncustodial, permissionless, secure, and don’t require KYC. You can FLY to whatever blockchain you’d like with Magpie, and help yourself to be financially free from traditional banking services. Together, let’s build a nest of empowerment for individuals around the globe.
