DeFi (Decentralized Finance) platforms are more decentralized than traditional exchanges, however calling them decentralized is sometimes a stretch.
Most of them are developed and managed by centralized foundations with a figurehead. Governance tokens are usually concentrated in the hands of founders and the same VC firms across most projects. Their open blockchains are pseudonymous like Bitcoin and do not offer real privacy.
This new type of semi-offshore semi-decentralized DEX (Decentralized Exchange) is a hybrid structure somewhere in-between offshore exchanges and truly decentralized cryptocurrencies. They have not been scrutinized by regulators yet, as they are still dealing with first-generation crypto companies and stablecoins.
Can DeFi be truly decentralized and private? Enter DarkFi, DeFi platforms that aim for being actually private, anonymous and decentralized. Think of them as the Moneros of DeFi markets.
Here is a non exhaustive list of projects that currently being developed:
- What is it? A protocol for digital assets.
- Layer-1 blockchain based on MimbleWimble
- PoW, merged mined with Monero
- Atomic Swaps with Monero
- State of the project: mainnet not launched, there will be no premine
- By fluffyPony former lead dev of Monero
- Website: https://www.tari.com/
2. Conceal Network
- What is it? Layer-1 Blockchain with DeFi/DEX functionalities
- PoW, Based on Cryptonote like Monero
- CCX token, “community premine” managed by dev team
- State of the project: mainnet launched in 2018
- Website: https://conceal.network/
- Fork of Bisq DEX, based on Monero instead of Bitcoin and BSQ token, no native token
- Website: https://haveno.exchange/
4. Secret Network
- What is it? Layer-1 blockchain with smart-contract functionality
- Based on Cosmos/Tendermint, SCRT coin, not secret by default, you need to swap sSCRT
- Premined, backed by VCs
- State of the project: mainnet launched in September 2020
- Website: https://scrt.network/
- What is it? Protocol for trading and liquidity mining on top of Secret Network
- SEFI governance token
- Website: https://www.secretswap.io/
Let me know if a project is missing or something is incorrect! Stay tuned for more updates.