As Kava strives to expand the appeal of its multi-asset defi platform, the addition of Simplex’s fiat currency to the encryption processing infrastructure will provide users with a new way to enter the defi ecosystem with fewer steps and conversions.
New portal to simplify Defi accessibility and participation
With decentralized finance (defi) falling in total value lock (TVL) in May reflecting the broader sell-off of cryptocurrencies to regain a foothold, competition is increasing the overall accessibility of this emerging field.
This has led to a large amount of investor funds entering the field to support protocols with low transaction costs, scalable infrastructure, and intuitive use. However, one area that remains largely untouched is the actual legal gateway of the defi protocol. Investors and traders must transfer coins and tokens to the ecosystem, adding an extra level of step for participants with legal funds.
Kava is the native defi platform of the Kava blockchain and has more than 250,000 users. It has overcome this obstacle by integrating Simplex’s fiat currency to encrypted payment processing services. The new method means that users can use credit or debit cards to directly enter the Kava ecosystem without first transferring funds through other fiat-to-cryptocurrency channels, making it the first defi platform to support direct purchase of native tokens.
Aaron Choi, Vice President of Global Business Development at Kava, said:
Kava Labs is committed to reducing friction and continuously improving our user experience so that they can purchase KAVA safely and easily worldwide. Our cooperation with Simplex provides a simple and streamlined way to purchase KAVA using a credit or debit card and access all assets on the Kava chain.
Simplex provides some of the world’s largest cryptocurrency exchanges, including Binance, with fiat bridges in and out of the cryptocurrency world. It believes that embedded fiat services will also increase the attractiveness of the defi platform. Ari Last, Vice President of Business Development at Simplex, responded to this point.
We are very happy to establish a new partnership with Kava.io, which will provide millions of users around the world with a simple and convenient way to purchase KAVA.
This Simplex integration coincides with the latest developments announced by Kava to customers. The Kava Swap platform, which will be launched in August, will help expand the coverage of the platform.
In addition, other pillars of the ecosystem are also coming. The platform has already supported cross-asset functions by using the Cosmos SDK to help Kava in Bitcoin (BTC), Binance Coin (BNB), Kava (KAVA) and XRP.
In addition to issuing Kava’s decentralized stable currency USDX to support its accompanying lending activities, it is also possible to use lending, trading and income agriculture in the aforementioned cryptocurrencies and polkadot (DOT).
Do you find the Defi ecosystem difficult to use? Let us know in the comments section below.
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