Radix, the domain portfolio registry, is taking a step into decentralized finance (DeFi) with the release of its first layer-one protocol made up of four different technologies.
It has been reported that in a white paper, Radix said that it had released four technologies it believes can bring DeFi for mass adoption. These are Cerberus, a high-speed network consensus mechanism, Radix Engine, for building DeFi applications, Component Catalog, a library to help build DeFi, and Developer Royalties, a decentralized incentive program.
However, the company said that for DeFi to go mainstream, it needs low transaction costs, secure by design systems, scalable and composable applications, and incentives that encourage developers to work on decentralized applications.
The company added:
“Ultimately, Mainstream DeFi will happen when all of the barriers holding back DeFi today are removed, without compromising decentralization. It happens when developers are finally given the tools they need to build apps that can surpass the services offered by the traditional financial industry. It happens when users of those apps wonder why they ever put up with the old way. Mainstream DeFi will move far beyond $4 billion and begins to absorb the $111 trillion waiting to be deployed onto the public ledger. Mainstream DeFi is the future we built Radix for.”
As per the report, Radix believes the four technologies that underpin it will solve much of the barriers facing DeFi’s moe into the mainstream.
Radix releases layer-one protocol to bring DeFi into the mainstream https://t.co/4TuLyrAtNE — Cointelegraph (@Cointelegraph) August 23, 2020
The company also said that it’s Radix Engine is explicitly designed for “the creation of logic that defines predictable, correct results on-ledger in response to requests” as the engine is based on Finite State Machines.
The Component Catalog builds on Radix Engine and offers an on-ledger hub for developers to build decentralized applications.
Cerberus is Radix’s consensus algorithm designed around “a unique pre-sharded ledger and uses a new consensus process called braiding.”
Thus, Developer Royalties provides incentives on the protocol-level.
Source: Cointelegraph | Image: Analytics India Magazine