Decentralized Finance Ecosystem as well as a Project/Protocol in the Ecosystem || Civic Wallet || @gbenga Lecture 7

Defi, this is one word that has been ringing the bell since 2019, just like the bells of ICOs in 2017. Decentralized Finance (DeFi) are financial applications built on the blockchain to disrupt the financial intermediaries in the traditional financial system.

Bitcoin can be referred to as the first Defi built on the blockchain but with Ethereum, Defi became a thing. Decentralization is one major goal of the blockchain, eliminating the middlemen in the industry.

source

Decentralize Finance (Defi) Ecosystem

Decentralized Finance cut through several sectors in the industry which serves as its ecosystem. The Defi ecosystem are;

• Assets Tokenization
• Compliance & Identity
• Marketplaces & Liquidity
• Infrastructure
• Lending
• Payments
• Prediction Markets
• Stablecoins
• Wallets & Asset Management.

In this post, I will be looking into one of the ecosystems and will be explaining a Defi protocol/project which falls under the ecosystem.

Compliance & Identity

Instead of having a centralized method of keeping personal data and controlling identity which is often used for the wrong purposes, decentralized finance (Defi) came to create an avenue for people to keep their identity and use at the required location.

source

Civic

Civic is a decentralized application (Dapps) that is used to protect users identity on the internet. Instead of having a repeated KYC, Civic will be there to allow the use of identity during a transaction. The Civic wallet also allows users to keep funds safely when transacting. All a user have to do is to verify an identity once, after which the user can use the verified identity multiple times to complete transaction. Civic will help with proving identity of users without compromising their privacy, since it has a wallet, it allows users to bring in their own digital currencies such as BTC, ETH and CVC and use for transactions.