In the original Bitcoin whitepaper, Satoshi Nakamoto envisaged the removal of financial intermediaries to make way for peer-to-peer (P2P) transactions. As we all know, traditional financial services require trusted intermediaries. For instance, someone wishing to lend money for interest must rely on a bank (an intermediary) to realize this procedure.
However, intermediaries generate additional costs in the form of fees. Moreover, they decide participants' creditworthiness, limiting their access to financial services. In contrast, decentralized finance (DeFi) relies on applications built atop blockchains to remove intermediaries from financial transactions. Besides lower costs, almost anyone can access these financial services without banks and brokers deciding on users’ creditworthiness.
Initially, DeFi projects dealt with lending and borrowing only. But over time, the DeFi ecosystem has expanded to include many other use cases, such as decentralized exchanges (DEXes), aggregators, insurance schemes, and more. Despite its many benefits, navigating the current DeFi ecosystem has become complicated because of many applications and use cases.
Luckily, several tools can help you navigate the DeFi landscape and identify the most convenient services and products. This article summarizes the top 7 tools for efficiently exploring the DeFi ecosystems. With these tools, you do not need to look for information on different websites and blockchain explorers. Interesting? Let’s begin!
1. DEX Screener
This tool allows you to analyze DEXes across many blockchain networks. You do not need to be a DeFi expert since this tool presents all necessary information through an easy-to-understand interface. Besides the web version, you can download the DEX Screener app to explore different DEX platforms from your smartphone. It is available on Google Play and App Store.
This tool provides information about the latest trading pairs added to DEXes, the biggest gainers and losers in the DeFi space, and trends that you can use to identify profitable opportunities. On DEX Screener, you can sort your data conveniently. For instance, you can filter specific blockchains and DEXes and list the trading pairs in each one according to different criteria, such as the number of transactions, 24-h trading volume, liquidity, etc.
2. DefiLlama
DefiLlama provides a comprehensive overview of the DeFi space, allowing you to track the evolution of different blockchains over time. This way, you can quickly identify where DeFi ecosystems are growing and where they are declining. DefiLama provides information on trading volume, total value locked (TVL), DeFi yields, and valuable off-chain data like funding rounds raised by DeFi projects. This tool is excellent for comparing different DeFi protocols, but it needs to provide more information about trading pairs on DEX platforms.
3. Defined.fi
This platform allows tracking tokens on more than forty different blockchains. It provides information like the latest transactions, price charts, total buys/sells, and the number of unique buyers/sellers within your selected time frame. If you want to find new and trending tokens, Defined.fi helps you choose assets with real growth potential. The platform displays only those tokens with the minimum liquidity you specify. Moreover, Defined.fi also covers NFTs across various blockchains.
4. Dex.guru
Dex.guru is a DEX aggregator that allows trading tokens. But you can also use it to analyze different DEXes. This tool shows the most active trading pools across many DEX platforms, including Uniswap, PanckakeSwap, SushiSwap, and others. You can also view a list of the most actively traded tokens on each blockchain supported. For each token, Dex.guru provides information like price, liquidity, supply, etc. This tool is more suitable for seasoned DeFi users than for beginners.
5. Dextools.io
Dextool.io allows exploring tokens and trading pairs across many DEXes. With this tool, you can sort DEX trading pairs by trading volume, number of swaps, liquidity, and other criteria. You can also use Dextools.io to find new tokens listed on DEXes. It also provides information about smart contracts. Dextools.io is quite similar to DEX Screener; choosing one depends on your preference.
6. Uniswap Info
Uniswap is a decentralized trading protocol facilitating the automated trading of DeFi tokens. It has gained considerable popularity. Uniswap Info is a platform that aggregates information from the Uniswap protocol. The data are presented conveniently, showing all token swaps performed with the Uniswap protocol. Uniswap Info also ranks the most actively traded tokens and pools.
7. Poocoin.app
This tool is most suitable for Binance Chain users. Poopcoin.app is a simple platform providing price charts for the different tokens traded on DEXes on the Binance Chain network. You can connect your Binance Chain wallet to this platform and visualize price charts for the tokens in your wallet. This tool has fewer features than the other platform listed above, but it can be convenient for traders transacting on the Binance Chain.
Conclusion
The DeFi phenomenon has opened many profitable opportunities for traders and investors. However, being a highly dynamic market, you must stay well-informed about what happens in the DeFi space. Tools like DEX Screener can help you find promising tokens on DEXes. But other tools listed above can give you a more comprehensive picture of the DeFi landscape. Learn to use these tools to be more successful in the DeFi space. If you want to purchase DeFi tokens at competitive rates, you can use LetsExchange.io. Our exchange platform also features a DEX, where you can swap tokens without intermediaries.
Disclaimer
Please keep in mind that the above information is based exclusively on our observations and is provided for informational purposes only. It doesn’t constitute any kind of financial advice nor represents an official forecast. Cryptocurrency is a highly volatile asset, and you are investing in it at your own risk.