DeHive leverages an in-built system of oracles that selects tokens at the best market prices and provides investors with an opportunity to earn a substantial passive income via Securitized Yield Farming. Here is how it does all of this and more.
The salient features of DeHive are as follows:
- This platform lets anyone hold the top DeFi tokens packed into a single index comprising leading DeFi assets that define the crypto market’s economic health.
- DeHive talks about NFT clusters which is a set of crypto assets chosen by crypto analysts and specialists in order to minimize the risks related to crypto dump.
- The DeHive protocol has an in-built system of oracles to acquire the selected tokens at the best price. Thus, the index gets the security of the best crypto assets in perfect proportion to enable passive income generation.
- Users can stake the token representing the index and benefit from yield farming. Besides, they can also take part in DHV liquidity mining while staking the index.
The DeHive Solutions for Maintaining a Crypto Portfolio
DeHive offers a range of practical solutions for maintaining a crypto portfolio.
- Control over holdings – DeHive is a decentralized platform where smart contracts form the basis of all core logic elements. It eliminates KYC, ownership over transferring funds, and control sharing. As a result, users remain in total control of their funds.
- Risk of losses – It does not have AMM-like elements, arbitrage, or swaps that could affect asset pricing, manipulation, or impermanent loss, ensuring complete protection of your funds as DeHive’s approach in choosing the assets minimizes their volatility.
- Minimize high-risk operations – DeHive uses the proven econometric theory of building the portfolio by choosing the underlying assets to minimize the risk.
- Simplicity – The DeHive platform deals with all the purchases and management to provide the user with a balanced crypto basket. The liquidation process is equally simple.
- No fund-flow restrictions – As users have complete control over their funds, there is no restriction on depositing or redeeming the assets at any time.
DeHive offers two types of indexes, platform verified and custom. The platform verified indexes are chosen carefully by crypto experts, whereas the DeHive platform incentivizes the community to create their custom indexes.
- It has a simple user interface to control a carefully chosen, decentralized, and diversified crypto portfolio.
- The efficient proportioning of crypto assets minimizes the risk of loss due to volatility. Further, the index pricing depends on the weighted sum of the prices of the asset portfolio.
- The index is a transferable token that allows the user to enter any market for trading crypto.
The customized indexes can be added to the yield farming protocol to enable the creator to generate commission from the yields generated by that index. Under Yield Farming, the underlying assets are securely stored but not utilized. It allows the user to stake these indexes and earn passive income using the best strategies developed by DeHive’s internal DeFi specialists.
Yield farming is one of the most secure ways to earn a passive income because it involves staking crypto assets with value considerably higher than the amounts staked. This securitization model ensures that DeHive Yield Farming has the potential to get approval from even regulatory authorities and financial institutions of various nations, which is crucial to ensure the longevity of DeFi projects. Furthermore, DeHive is coming out with many new features you can benefit from, such as DeHive NFTs, its DAO, and more.