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Multi-Chain DeFi Protocols Competing With Uniswap (UNI) – Logarithmic Finance (LOG), Aave (AAVE)

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Multi-chain protocols have proven to facilitate DeFi adoption and decentralised trading. Before now, Uniswap (UNI) and PancakeSwap (CAKE) have been ringleaders in decentralised trading and liquidity provision.

Unfortunately, Uniswap and Pancakeswap can only support their network standard tokens—ERC20 and BEP20. Only that PancakeSwap is a bit more tilted towards cross-chain than Uniswap because of its BSC bridge.

Multi-chain DeFi protocols are the future of decentralised exchanges and platforms because traders do not have to bother about swapping a token standard for another – they have varieties of options to invest their assets, provide liquidity, or stake comfortably.

Aave Protocol (AAVE) is a perfect example of a multi-chain protocol that has stood against the odds. Another one looking to disrupt the DeFi space – even introducing cross-chain NFT listing is Logarithmic Finance (LOG). 

Uniswap (UNI) –  the mother of DEXs 

Before we dive into the multi-chain protocols with the vision of breaking the bias in the DeFi industry, let’s see a brief overview of Uniswap (UNI) and how phenomenal it has been to attract such attention from DeFi enthusiasts and investors.

Uniswap was launched in November 2018, at a time when decentralised trading was still emerging. It generally became a top crypto exchange by daily trading volume, beating many top centralised exchanges at the moment.

The protocol is powered by UNI, a utility and DAO token created by Uniswap to facilitate transactions and support liquidity provision and governance for holders.

As of Q3 2021, Uniswap already had over $6 billion in total value locked (TVL), which was more than many DEXs at the time. 

However, Uniswap suffered some limitations, including impermanent losses, high fees (arising from unregulated Ethereum gas), and a lack of communication between Ethereum-based token standards and other network token standards.

Multi-chain protocols like Aave and Logarithmic Finance want to solve these problems common with Uniswap and related DEXs. 

Aave (AAVE) – DeFi lending crypto leader

Aave (AAVE) is a multi-chain platform built on Ethereum but supports over 7 other networks like Polygon, Avalanche, Arbitrum, etc. Aave is popular for DeFi lending and borrowing and supports over 13 markets across the 7 networks currently operating on the protocol.

Aave uses the mechanism of flash loans to prevent asset mismanagement and impermanent losses in the lending and borrowing section.

Additionally, users may supply liquidity using its utility and governance token – AAVE. Holding AAVE gives you instant access to Aave Governance, a protocol that brings together Aave supporters and investors globally and facilitates resourceful contributions to the protocol’s growth and development.

AAVE is an ERC20 token available on many top centralised and decentralised exchanges like Binance, KuCoin, etc. Holding the token also has benefits common with DEXs, including staking rewards, discounted trades, etc.

According to information on DeFi Pulse, a DEX aggregator, at the time of writing, Aave currently outperforms Uniswap in terms of TVL. More multi-chain protocols with a proposition like Aave could achieve the same feat.

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Logarithmic Finance (LOG) – an impressive crypto newbie

Another multi-chain protocol that wants to change the narratives and compete with Uniswap is Logarithmic Finance (LOG).

The protocol aims to design a robust ecosystem with invaluable offerings:

  • NFT launchpad and marketplace;
  • Next-generation Layer-3 decentralised trading;
  • Support for cross-chain DeFi developments and innovation.

Logarithmic Finance will power its ecosystem using its utility token LOG, which is an ERC20 token swappable through a DEX bridge. Like AAVE, it will incentivise Logarithmic Finance and attract more liquidity providers and investors.

Logarithmic Finance will cover several blockchain networks, including Ethereum (ETH), Binance Smart Chain (BSC), Polygon (MATIC), Avalanche (AVAX), Tezos (XTZ), and Solana (SOL).

Security-wise, it will use a homomorphic encryption mechanism to secure trading on the platform.

Since LOG is an ERC20 token, there is a tendency that gas fees for swapping the token will be high. Logarithmic Finance will also integrate protocols that will minimise gas fees on the platform.

You can easily get the LOG token on Logarithmic Finance’s official website by registering and requesting the tokens. Currently, the Logarithmic Finance (LOG) token is very promising, soaring over 240% since it was introduced this year—we expect more price pumps before it officially gets listed in a crypto exchange soon!

Learn more about Logarithmic Finance (LOG) below:

https://presale.logarithmic.finance/register

https://logarithmic.finance/

https://t.me/LOGARITHMIC_FINANCE_OFFICIAL

https://twitter.com/LOGARITHMIC_FI

Disclaimer: This is a sponsored press release, and is for informational purposes only. It does not reflect the views of Crypto Daily, nor is it intended to be used as legal, tax, investment, or financial advice 

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