Moonbeam, a Smart Contract Parachain on Polkadot that allows for the easy creation and use of DeFi protocols, is home to some interesting and exciting DeFi protocols in the space. In this article, we will take a look at the top 10 Moonbeam DeFi protocols by total value locked. These include Stellaswap, Beamswap, Zenlink, Beefy Finance, Connext, Convergence, Solarflare, Clipper DEX, Curve Finance, and PadSwap.
Some of these DeFi protocols, such as Curve Finance, are known from previous blockchain projects. Others, like Stellaswap or Beamswap, are original to the Moonbeam Network. We have a number of decentralized exchanges on the list, but each one aims to provide something unique to the ecosystem.
Top 10 DeFi protocols on Moonbeam by total value locked
|Protocol Name||Category||Total Value Locked (Millions)|
|StellaSwap (STELLA)||Decentralized Exchange||35.13|
|BeamSwap (GLINT)||Decentralized Exchange||13.92|
|Zenlink (ZLK)||Decentralized Exchange||8.33|
|Beefy Finance (BIFI)||Yield Optimizer||5.41|
|Convergence (CONV)||Decentralized Exchange||1.39|
|Solarflare (FLARE)||Decentralized Exchange||1.11|
|PadSwap (TOAD)||Decentralized Exchange||0.29|
StellaSwap is a Decentralized Exchange on Moonbeam that offers an integrated gateway to the DeFi world. StellaSwap enables users to exchange, produce, yield farms, bridge assets, explore new initiatives, and engage in NFT trading all from a single platform. StellaSwap’s solutions are designed in such a way that they allow for decentralized management of STELLA holders while also continuing to advance on the collective foundations by design.
Beamswap is a decentralized exchange (DEX) with an automated market maker (AMM), which offers liquidity provisions features and peer-to-peer transactions. However, it has much more in mind. It will allow you to swap crypto assets, both fungible and non-fungible, get passive income from staking and yield farming, and even create your own blockchain projects on Moonbeam.
Zenlink is a cross-chain decentralized exchange protocol that runs on Moonbeam Network and is dedicated to becoming the composable center of Polkadot. Zenlink DEX Protocol is a cross-chain, open, and unified DEX protocol based on Substrate that allows all parachains to create DEX in a fairly easy way and achieve liquidity sharing. Zendesk’s Zenlink DEX Protocol supports Module, WASM, and EVM implementations, all of which are flexible and adaptable. It allows for customized compositions and interoperability with a variety of DeFi modules.
Connext is the interoperability protocol and a blockchain bridge connecting Moonbeam with other 15 blockchains. Connext allows users to send value and call contracts across Ethereum-compatible chains and Ethereum Layer 2 solutions. According to Moonbeam’s official documentation, Connext is the only interoperability solution that does this without introducing any new trust assumptions at all. Developers who want to create bridges and other natively cross-chain applications might benefit from Connext.
Convergence aims to be one of the first AMM to provide real-world asset exposure interchangeability in the DeFi market by uniting Wrapped Security Tokens (WSTs) with Utility Tokens on a single interface that is simple to use, adopt, and composite with other DeFi protocols.
Convergence allows asset owners to gain access to decentralized DeFi liquidity, while DeFi users can use real-world asset exposure (such as in private and unicorn firms or other exotic real-world assets). Convergence Finance combines the security token benefits with the liquidity, automation, and transparency characteristics of DeFi to provide real-world asset exposure to DeFi.
Solarflare is a decentralized exchange on the Moonbeam Network that offers liquidity and enables peer-to-peer transactions. Solarflare is a sister DEX of Solarbeam DEX, which is hosted on the Moonriver Network. The objective is to provide a comprehensive and easy-to-use one-stop platform for Moonbeam users. Solarflare, similar to other decentralized exchanges, allows DeFi users to trade directly from their wallets rather than through a third party – since the tokens aren’t leaving your grasp, it’s 100% yours.
7. Clipper DEX
Clipper is another Decentralized Exchange on the Moonbeam network having its own unique features. Clipper is a decentralized exchange (DEX) created for self-made traders rather than big investors or whales, according to Clipper’s website. Clipper is designed to offer the lowest per-transaction fees for smaller trades of the most popular cryptocurrency assets. This is achieved by utilizing a unique architecture with tradeoffs that give greater pricing on modest.
Clipper introduced its own AMM formula that aims to achieve lower slippage compared to the constant-product AMM formula of Uniswap. Clipper also uses pricing oracles to mitigate the impact of impermanent loss.
8. Beefy Finance
Beefy Finance is a decentralized, multi-chain Yield Optimizer and Aggregator that allows its users to earn compound interest on their crypto holdings. Beefy offers a variety of investment strategies for Yield Farmers and Liquidity providers to optmize their yield. Beefy’s goal is to maximize user rewards from various liquidity pools (LPs), automated market making (AMM) projects, and other yield farming opportunities in the DeFi ecosystem.
9. Curve Finance
Curve Finance, which goes with the ticker $CRV, is a Decentralized Exchange (DEX) optimized for low fee swaps and low slippage between assets of equal value. Such assets can be different tokens pegged to the dollar, such as USDC and USDT, or two tokens pegged to Bitcoin, such as wBTC or hBTC. Curve Finance is an Automated Market Maker (AMM) that relies on liquidity pools, where liquidity providers deposit their tokens and earn rewards or interest. The liquidity provided is then used for exchanging one asset for another. The Curve Finance model is called Stableswap, as it is extremely effective for exchanging stablecoins.
PadSwap is the last dex on the list of the top 10 DeFi protocols on Moonbeam. The TOAD Network is a community-driven organization and ecosystem of utilities designed to address the common issues of Decentralized Finance.
The inability of various types of liquidity to connect with markets in a decentralized way; as well as the difficulties of removing liquidity provision from projects (Rug-Pulling), are among them. However, liquidity is a difficult problem to address. The TOAD.Network proposition is designed to provide incrementally better solutions to the problem of liquidity. Rather than sticking with just one solution, TOAD.Network seeks to integrate many decentralized markets and instruments into one another.