Original title: Exponential
By Paul Veradittakit, Partner at Pantera Capital
Compiled by: aididiaojp.eth, Foresight News
In the world of DeFi, investing is a complex and dangerous game. Mixed assets, malicious behavior, or smart contract vulnerabilities all raise constant concerns about losing money. This risk is real, as evidenced by the numerous high-profile hacks and scams that have plagued the DeFi space in recent years. Fortunately, a new solution is trying to paint a safer DeFi future. Exponential is a new decentralized finance investment platform designed to easily discover, evaluate, and invest in DeFi projects. It recently completed a $14 million seed round of financing from investors including Paradigm, Haun Ventures, Solana Ventures, Polygon, Circle Ventures, and more than 80 angel investors.
As the DeFi industry continues to move forward, the risks are also increasing. In the first half of 2022, the DeFi industry lost nearly $2 billion due to attacks, fraud, vulnerability exploits, etc. The attack on the Ronin network resulted in a loss of nearly $615 million, which is one of the largest losses in DeFi to date. The theft of $182 million from Beanstalk Farms is another example of how DeFi investors can easily fall victim to malicious actors. These losses are not limited to ordinary investors, large and established players in the DeFi space are also vulnerable to these risks. Exponential determined that there is still more than $3 billion in funds locked in dangerous projects. The decentralized nature of DeFi protocols, coupled with the lack of regulation, creates a breeding ground for bad actors.
Investing in DeFi is like navigating a dark forest, full of twists and turns and hidden traps. With so many projects to choose from in the industry and a never-ending stream of data and transactions to monitor, even the most experienced crypto enthusiasts can feel daunted by the task. This is where Exponential comes in, saving investors time and energy in deciding where to put their money, simplifying the DeFi investment process and helping investors make informed decisions, whether you are a beginner or an experienced cryptocurrency trader.
Exponential provides its users with an institutional-grade risk assessment system that distills thousands of risk vectors into a simple letter grade so that DeFi investors can assess risk at a glance. Their first product, “Rate My Wallet,” analyzes the risk of holding a wallet so that participants can take immediate action to improve the security of their portfolio.
The platform goes beyond just scoring investment decisions, providing expert insights and curation to make it easier for users to identify potential opportunities. Exponential helps users understand the potential risks and rewards of different opportunities by analyzing risk, taking into account various factors, including project development and community adoption. Currently, their ratings cover 88% of assets and are expected to reach 90% in the coming weeks. Exponential's team of experts has years of experience in the crypto and financial industries, and uses their expertise to analyze the risks of DeFi projects, bringing them to the forefront of DeFi participants.
Additionally, Exponential allows users to find and compare yield opportunities across multiple blockchains and protocols, making it easier for DeFi investors to identify the best opportunities for them.
The platform's educational resources and investor community support users on their DeFi journey. In addition, with Exponential, users no longer need to sift through endless information and data to make informed decisions. Instead, they can access everything they need in one convenient platform, making DeFi simpler.
Exponential was founded by Driss Benamour, Mehdi Lebbar and Greg Jizmagian, all of whom are experienced veterans in finance and technology with many years of experience in institutional finance, portfolio management and software engineering. They believe that DeFi has the power to unlock financial freedom and create a level playing field for everyone, regardless of background or economic status. With a deep understanding of the challenges faced by DeFi participants, the co-founders' mission is to bring the benefits of DeFi to the masses, making it easy and convenient for everyone to participate in the new world of decentralized finance.
There is no doubt that investing in DeFi can be a confusing and risky process, and Exponential aims to make it easier and safer for users to make informed decisions. Exponential is truly revolutionizing the world of decentralized finance by providing a one-stop shop for DeFi. The user experience of participating in DeFi liquidity pools directly on the platform will simplify the process of participating in DeFi and make it easier for users to get started. Additionally, eliminating the need for complex third-party decentralized exchanges simplifies the process and reduces the risk of errors or security vulnerabilities. As a result, Exponential is positioning itself as the go-to tool for simple, secure, and smart DeFi.
