How PL^GNet Massively Scales up Participation in DeFi

PL^GNet takes DeFi participation to a whole new level via blended finance — giving the customers of centralised asset custodians safe access to DeFi products.

Participation in DeFi today is limited by safety concerns

One of the biggest limitations on DeFi growth is safety.

Customer concerns fall into three areas:

• Worry that they might lose assets by losing their keys
• Concern that projects they invest in might be untrustworthy
• Worry that they might “do something wrong” when using unfamiliar UI’s / interfaces for DeFi

While hard-core devotees of the decentralised world (including many of you!) are comfortable with managing their own private keys and evaluating and executing staking in DeFi projects, many recent entrants to the digital asset and DeFi space are not. We need better ways to bring them along on this exciting journey.

The solution is blended finance, where the best elements of CEX’s and pure DeFi are used to improve safety and access.

How big is this possible new group of DeFi customers?

This group is large, and will continue to grow… fast!

Take the total market of digital asset holders. They are all potential DeFi customers. If we consider them against the classic adoption curve, we get something like this:

Innovators and some Early Adopters: Hold digital assets and are comfortable with early DeFi products

Some Early Adopters + Early Majority: Hold digital assets, but are not comfortable with DeFi yet

Late Majority + Laggards: Don’t yet hold digital assets

Some argue that we are earlier that this in crypto, since many early majority customers don’t even have a digital asset yet. If so, great! That just means there’s a even larger pool of future customers for safe blended finance products.

PL^GNet addresses the biggest safety concerns for new DeFi users

PL^GNet is designed to address safety concerns directly, by blending the best elements of centralised custodians and decenstralised assets and governance. Here’s how.

Worry about asset OR key loss

The biggest benefit of CEX’s and custodians is that they take on the risk of key management, and have some regulatory culpability for users assets. PL^GNet enables the customers of an exchange to stake into / access DeFi products without moving their underlying asset off their trusted exchange or custodian.

Concern about untrustworthy projects

PL^G participating exchanges and custodians will be involved in the screening and selection of DeFi projects offered to their customers, adding a layer of technical analysis that most customers don’t have. This increases trust in the selection process.

Additionally, if the project fails or is fraudulent, the underlying asset is protected. In a typical instance, the customers loss could be limited to reward tokens earned on the network of the failed project.

Worry about making mistakes with unfamiliar interfaces

PL^GNet integrates directly with asset custodians like CEX’s. This means customers can put their digital assets into DeFi without having to learn a new interface… they do it right from their trusted provider.

PL^GNet brings millions of new users into DeFi

Because PL^GNet solves so well for customer safety, we’ll unlock the world of DeFi for many existing digital asset hodlers who want to access this exciting new space. This will equate to millions of net new customers.

We’re not in a zero-sum game with other DeFi projects, sidechains, and integrators for customers — we’re helping unlock new customers for the entire ecosystem!

Best of all, alongside the safety benefits of working with centralised exchanges… PL^GNet’s governance remains with token holders. This makes us fundamentally different from other large exchange solutions offering DeFi access. More on that in a future post.

PL^G won’t be the only network attempting to solve for customer safety, convenience, compliance and trust… but we are one of the first and best :)

That’s all for today… keep on staking, PL^G rangers!

Phil