The place of Jax.Network in the world of DeFi
by Maryna Trifonova, Head of Content at Jax.Network
Decentralized finance (DeFi) has disrupted the way we work and do business around the world. Out of the blue, we found there was a simpler and cheaper way to transact globally peer to peer. Nowadays fintech initiatives compete to offer better terms of service to their users by solving a number of problems inherent to blockchain nature itself and Jax.Network is not an exception.
Entering the DeFi loophole
“Crypto” and “DeFi” have become popular buzzwords for financial applications built on blockchain. Indeed, decentralized finance has entered our lives at full speed with new notions such as web3, NFT, metaverse, etc. All of that was a bit later down the line of development, while at starters people had only an urge to increase the efficiency of the centralized finance system which was often associated with high processing fees.
It turns out that there is another major problem that DeFi can potentially handle — the financial exclusion of nearly 1.7 billion people, as per the latest report conducted by the World Bank. But the problem is that DeFi apps mostly require good knowledge of the cryptocurrency market, as they have complicated interfaces and user flows. Can this problem be solved anytime in the future?
Over the last couple of years, we have discovered that quite familiar financial concepts can run in a decentralized fashion; and we loved it. Now we can’t even imagine how we lived without DEXs, DAOs, DeFi loans, and high-yield staking. All your funds are within arm’s reach whenever you need them no matter what part of the world you are in. And if you ever get in trouble, for example, lose all your cash or get your card blocked in a foreign country, you can exchange some of your crypto or take a rapid loan against your tokens just for the time being until you receive an international transfer from your family or friends.
What about Jax.Network?
Jax.Network stands in line with other popular DeFi projects, including MakerDAO, Uniswap, Compound, etc. All of them serve different purposes which we have partially discussed above, but one thing they have in common is the idea of a decentralized future. We also believe that decentralization should go hand in hand with security and scalability. Our blockchain became a vivid representation of this idea featuring two digital currencies JAX and JXN. It goes without saying that both of them obtain unique qualities which are themselves very valuable but we went even further and created a brand-new monetary system based on energy.
Jax.Money is a stablecoin payments system with 100% on-chain reserves backed by energy spent, in other words, Proof-of-Work. It allows users to issue localized derivatives soft-pegged to an energy-underwritten stablecoin (Wrapped JAX). As WJAX is a decentralized representation of JAX, it maintains all the properties of the latter, including scalability, stability, and security. Thus, users benefit not only from a state-of-art payments system but also from a number of other innovative features, namely:
It’s important to point out that yield is based on transaction counts, as a small portion of the transaction fee is collected for this purpose solely. Indirectly, it means that the platform is used for day-to-day payments while still providing benefits for all stakeholders, including merchants, thanks to a much lower fee.
Apart from that, people who have never been a part of the banking system, finally have an opportunity to become full-fledged members of our society. A simple smartphone with an Internet connection can give them the freedom to manage their money in ways that traditional banking institutions would never approve. In fact, a part of transaction and swapping fees on Jax.Money goes to finance the UBI program. Its main mission is to make sure that people of merit always have time and resources to make this world a slightly better place than it was yesterday.
And coming back to the question of DeFi complexity, Jax.Money addresses this problem with an easy-to-use interface for those who have never used cryptocurrency. Thus, people can claim UBI and pay their merchants with cheaper fees compared to the credit/debit card system.
Jax.Network has been developing a whole new ecosystem of DeFi products, which already started to change the world. From an experienced investor to a guy without a bank card, our platform is the best tool for everybody’s needs.
Don’t miss any announcement by subscribing to our social media accounts:
Official Website: https://jax.network
Twitter: https://twitter.com/CommunityJax
Facebook: https://www.facebook.com/network.jax/
Telegram Channel: https://t.me/jax_network
Official Group: https://t.me/jax_chat
