Unizen, a major participant in the “Centralized Decentralized Finance” field, has announced a new project to bring the concept closer to reality. Intending to bring together DeFi developers and decision-makers at conventional, centralized finance (CeFi) firms and combine the benefit of a centralized exchange with decentralized cousins, the smart exchange ecosystem has announced the formation of the CeDeFi Alliance in conjunction with Jun Capital.
An acronym for the combination of CeFi and DeFi has recently been coined: CeDeFi. Combining old regulatory restrictions with new DeFi apps is a hybrid of centralized and decentralized financial services.
Decentralized exchanges, liquidity aggregators, credit protocols, and harvesting tools are part of CeDeFi’s significant promise, a new generation of decentralized exchanges with more regulation and cheaper transaction costs. One of the hopes is that conventional financial service providers would use smart contracts to power their goods and services, increasing accessibility, speeding up transaction times, and lowering risk levels overall.
CeDeFi also solves the compliance issues preventing the use of cryptocurrencies by businesses. When CeFi functionalities are combined with DeFi, there is a potential for institutional adoption of DeFi. With its all-in-one exchange protocol that blends CEXs with DEXs to fulfill the demands of institutional and individual investors, Unizen has much expertise in the developing CeDeFi area. If one is looking for cheap costs and top performance on both Binance and other exchanges while ensuring that high-volume trading is secured, Unizen is the solution.
DeFi and CeFi advocates, according to Unizen, have long had a tense relationship. It does, however, feel that bringing the two sides together to discuss methods of cooperating would be beneficial to both parties.
According to a statement from Unizen:
“Blockchain and digital assets have the potential to disrupt multiple fields if centralized and decentralized players can find common ground for such partnerships.”
Following their collaboration on the ZenX Incubator, an accelerator program aimed at jumpstarting CeDeFi applications and initiatives, Unizen and Jun Capital formed the CeDeFi Alliance. ZenX initiatives focus on the practical and technological components of CeDeFi, while the newly established Alliance focuses on theoretical and legal foundations for the ecosystem.
With strict restrictions and tight compliance, Unizen said that CeDeFi needed a combination of flexible technology and high-impact messaging. As part of its mission, the CeDeFi Alliance is working to influence significant players in the financial services sector. CeDeFi will also be promoted among governments and institutions, and a collaboration network will be established as part of this effort.
