DeFi, or decentralized finance, refers to using smart contracts and blockchain technology to raise and issue securities such as stocks or bonds, usually done by big institutions.
With this development in finance, startups can now raise capital without going through traditional fundraising methods, such as venture capitalists (VCs).
With recent events like flash crashes, market volatility, and increased government regulations, decentralized finance offers an alternative to traditional methods of raising capital that is no longer as reliable.
One way decentralized finance differs from traditional fundraising is that it doesn’t require a centralized institution to enforce contracts or facilitate transactions.
Orbeon Protocol is changing the face of the venture capital and crowdfunding industry; the barriers to entry usually associated with investing in the most promising are no longer a problem for the everyday investor. The Orbeon Protocol (ORBN) token presale is now available, and many analysts believe it will likely surge in value.
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Why Are They Beneficial for Startups?
Decentralized finance (DeFi) has helped startups raise capital in various ways. One way is through the use of tokens. Tokens are like stock and can be used to buy services or goods from the company that created them.
Another way that DeFi helps startups is by cutting out the need for intermediaries like banks, which take a cut off the top for their services. This can help startups get more revenue for themselves and make it easier to do business internationally.
Some of the popular crypto protocols facilitating fully decentralized, faster, and cheaper transactions include the Orbeon Protocol, the Fantom (FTM) token, and the Tezos (XTJ) protocol.
What is Fantom (FTM) Token?
The Fantom token (FTM) has two primary functions. The first is to act as a stablecoin, allowing traders to hedge Fantom against extreme market volatility.
The second function of the Fantom token is to provide users with access to discounted fees for transactions on the Fantom network.
This enables users to pay lower fees on transactions with Fantom that require a small fee compared to other networks that require large fees, such as Ethereum and Bitcoin. Fantom’s more rapid transaction speed greatly appeals to fans of the Fantom project. These quicker transactions and lower fees are of great advantage to startups getting started in the DeFi space, hence why Fantom has gained popularity among these investors.
Tezos offers a platform that allows developers to build smart contracts and decentralized applications with formal code verification (meaning bugs are found before they’re released).
Additionally, users can participate in governance, validate transactions, or even take part in on-chain governance by providing input regarding protocol changes. XTZ token holders can also earn interest from proof-of-stake validation.
A user’s stake in XTZ increases as long as he or she validates transactions correctly, and so does his or her reward for doing so.
The Orbeon Protocol
Orbeon protocol is one of the emerging DeFi platforms shaping the future of startup funding. Orbeon protocol is an investment platform redefining how venture capital and crowdfunding industries should work to serve investors and startups.
It does this by allowing any person to invest fractionally in a promising company at its early stage of development. Each opportunity is minted into valuable NFTs and fractionalized. This allows anyone to invest in exciting new brands for as little as $1 – Orbeon Protocol is using this accessibility to democratize the VC and crowdfunding industries.
Orbeon protocol is beneficial not only to small investors but to startups as well. The startup can raise funds while engaging with its community through various activities that provide rewards and equity-based NFTs to its followers.
The Orbeon protocol is set to empower the ordinary person to compete with the big venture capitalists who have long dominated the industry. The ecosystem’s native token, ORBN, provides its holders with numerous perks, including staking, Orbeon protocol governance rights, access to exclusive investor communities and more.
Orbeon’s ORBN tokens are currently available for first-stage presale at $0.004; however, this is expected to surge to $0.24 as the presale ends.
Find Out More About The Orbeon Protocol Presale
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