With no visible signs of holding any time soon, the decentralized finance (DeFi) craze keeps growing bigger. The abrupt increase is mainly kick-off by the extension of lending rewards incentives and yield farming.
Observing the massive growth of the DeFi sector, WazirX, Indian based cryptocurrency exchanges, has announced to develop a decentralized finance platform. According to the report, Indian’s leading exchange is gearing up to launch an automated market maker (AMM) protocol with the collaboration of the Matic network.
WazirX CEO Nischal Shetty said that the DeFi platform is initially under development. However, the WazirX team is aiming to drive a testnet phase by the end of September 2020.
WazirX New Initiative Aims To Attract Institutional Investors
While briefing plans for the defi project, Shetty said that an automated market maker protocol is looking to invite the exchange existing users and new institutional investors.
Moreover, the official stated, the DeFi protocol is a set of smart contracts aiming to reshape traditional exchange order books. The team has developed a liquidity pool that automatically trades tokens by utilizing an algorithm in a decentralized system.
The WazirX DeFi initiative comes at the time of regulatory uncertainty. The Central Bank of India and major ministers have taken a stand against cryptocurrencies and are going to restrict crypto activities in the country. There are reports that Indian legislators are actively working on a cryptocurrency draft bill entitled “Banning of Cryptocurrency and Regulation of Official Digital Currency Bill, 2019.” Concerning the influence of crypto uncertain laws, WazirX CEO said that he was “confident about positive crypto regulations coming in India.”