What are the hottest topics and areas of blockchain in 2020? It's still DeFi without a doubt. Lending products with low threshold and high interest rates made DeFi stand out in 2019. The "DEX" of DeFi combined with the exchange fully reflects its application value. In September, the news that the UniSwap airdrop exceeded 10,000 per capita occupied the blockchain circle of friends. For a while, "liquidity mining", "decentralized finance", "DEX", etc. once again became high-frequency words in the tea room chat in the industry. As of January 4, 2021, the lock-up volume of the entire DeFi network has reached 18.81 billion US dollars.

The continuous popularity of DeFi has brought huge traffic to Ethereum, and the price of ETH has been rising all the way, breaking through the 1000USDT mark again in the past few days. But at the same time, before the official launch of Ethereum 2.0, it has been difficult to effectively solve the criticized Gas fees and transaction congestion. As the main battlefield of DeFi before, these defects of Ethereum greatly limit the imagination of DeFi in the future.

In order to better improve the DeFi ecosystem and solve problems such as high transaction costs and transaction congestion in the development of DeFi, major public chains have proposed their own solutions, including major exchanges that have also begun to focus on expanding the ecological value of exchanges. In terms of direction, more attention should be paid to the development of underlying technology and the exchange public chain.

To further improve the user's trading experience and help the diversification of the DeFi ecosystem, the Huobi Exchange, which has always had a presence in the DeFi field, also launched the Huobi ECO Chain on December 21 at the end of the year.

As the first product launched by the Huobi Open Platform, the Huobi Ecological Chain (Heco) is backed by Huobi’s brand value and resources, and led by Du Jun himself. Since its concept was launched, it has been well received by the market and developers. focus on.

The original digital asset on the Heco chain is Huobi Points HT, which is used as fuel for all activities on the chain. At the same time, Heco adopts the HPoS consensus mechanism, which can realize EVM programmability and smart contract compatibility, and supports cross-chain asset transfer. At present, Heco produces a block every 3 seconds on average, and the TPS reaches 500+. Relying on the world's largest trading ecosystem and Huobi's technical support, as a decentralized high-performance public chain, Heco is expected to become an infrastructure platform for DeFi projects in the future.

Due to its unique advantages, after the launch of the Heco mainnet, it has attracted a large number of high-quality and innovative projects. Among these projects, a DeFi project called CircleSwap quickly attracted attention online. In just 4 days after its launch, its liquidity pool has a maximum pledge of more than 12.5 million USDT equivalent tokens (equivalent to 2.4 million HT), the transaction addresses on Heco have reached 15,000, and the CircleSwap token CIR currency holding addresses have also reached 8,600 , and became the first project on the Heco network to be listed on two major exchanges, MXC and Gate.io, and successfully went out of the circle.

Judging from various data, CircleSwap has become the hottest DeFi project on the Huobi ecological chain in less than a week, so why is this CircleSwap sacred?

According to community information, CircleSwap is the world's first mutual trust decentralized DeFi protocol that combines Circle (circle) and Swap (transaction) with light social elements, aiming to provide decentralized transactions based on light social interaction and Circle's influence An encrypted financial and derivatives service platform for mining, Circle NFT circulation, and Circle DAO governance. The CircleSwap platform token is called CIR, with a total of 1.01 million.

CircleSwap is based on "Circle" and UBI's general basic income theory, and maps personal influence into a mutual trust network on the chain. It is the result of the deep combination of Circle's concept and DeFi. In terms of gameplay, CircleSwap introduces two modules, NCircle and ECircle, in combination with the concept of "Circle" in addition to some basic operations of DeFi applications such as "effective address".

"Valid address" refers to the address that registers through the platform invitation link (official or shared by other users) and completes a transaction of no less than 100HT equivalent.

The full name of "NCircle" is "Native Circle", which refers to the Circle (circle) formed by users by inviting other users to register on the platform. NCircle contains at most two levels (parent block and uncle block). Valid users who create and join NCircle will have the opportunity to receive additional airdrop rewards and participate in platform Swap mining.

The full name of "ECircle" is "Evolutionary Circle", which refers to the Circle (circle) that users create and invite other users to join through their own influence. Only valid addresses have the opportunity to create and join ECircle.

From these three modules, it can be seen that at present, the core gameplay of CircleSwap is to conduct liquidity mining by inviting others to establish circles. And according to the description in the project information, the larger the circle, the more LP Tokens are pledged, and the mining income of everyone in the circle will be higher.

This method of "hunting together to fight monsters" is good news for the retail investors who account for the majority in the industry, because the form of circle mining can give everyone a mining profit bonus, and a large number of retail investors with small funds can combine to mine together. Mine to obtain higher income.

And this innovative gameplay, from the data point of view, has already been affirmed by the market and users.

So far, the "public chain battle" of the three major exchanges HBO in the DeFi field has officially kicked off.

In September 2020, the main network of Binance Smart Chain, which focuses on DeFi, was announced to be launched. At the same time, Binance launched a support plan of up to 100 million US dollars to promote the ecological development of Binance Smart Chain.

Almost at the same time when the Binance Smart Chain was launched, OKChain, a subsidiary of OKEx, was renamed "OEC" and also aimed at the DeFi field.

In contrast, Huobi launched Heco relatively late. In order to achieve corner overtaking, Huobi DeFi Labs also established the Heco Ecological Fund, donating 200 million US dollars to help the development of ecological projects on the chain. Cooperate with well-known DeFi projects, attracting its architecture on the Huobi ecological chain.

However, for the Huobi ecological chain, which started later, it is of course important to attract mainstream DeFi projects to settle in, and this is also a necessary supplement. But in order to achieve cornering overtaking, the more important condition is the innovation and uniqueness of the projects on the chain, that is, exclusivity.

The prosperity of the Huobi ecological chain Heco cannot rely on the original DeFi projects that have been built on other chains, but needs some high-quality projects that meet the characteristics of Heco and are specially designed for Heco to really detonate the market and attract users to compete in a differentiated manner. Just like CircleSwap, a large number of users are introduced to Heco through novel gameplay, thus forming a virtuous circle.

On such a basis, the Huobi ecological chain Heco can truly move towards full prosperity and achieve overtaking in corners.