A “cryptocurrency on-ramp” is a business or exchange that facilitates the exchange of fiat currency for cryptocurrency. Off-ramps for cryptocurrency are the polar opposite of on-ramps. They operate in the same manner. They are a means of converting your cryptocurrency to fiat currency, or even products and services.
With the current development of the crypto space, more DeFi projects and cryptocurrencies have been launched. Among the digital assets that are increasing in popularity is crypto on ramp and crypto RAMP. Although they are some new entrances to the game, these coins and platforms are expected to be a great investment in the future. Let’s learn more about crypto on-ramp and RAMP in the article below.
Cryptocurrency on-ramps involve an exchange or similar service where you can convert money into digital assets.
In order for a person to access digital assets, the first basic step they need to take is to buy some amount of cryptocurrency. This would require trading fiat into digital assets, any service that provides the above transition is referred to as “On-ramp” in Cryptocurrency. On-ramps are a way for new users to bring their money into the crypto space, but not all work the same way.
For example, new users frequently obtain their initial bitcoin through an exchange. You can also look at steps for creating an account on bitcoin exchange for more knowledge. Not all exchanges allow direct fiat purchases, but many of the big names do, and now more and more exchanges are entering the field. In addition to the mainstream exchanges, there are also over-the-counter or OTC markets. This is a place where users exchange and buy and sell with each other based on consensus on the price of both parties, so sometimes it is not completely accurate with the proposed exchange rate.
Many platforms already offer this service, but the OTC realm is still more commonly used by many buyers because the scope of OTC selling or buying is much broader than that of other platforms. Both exchanges and OTC services often have APIs- integrated into other devices that make cross-market trading easier for advanced users.
The last popular thing about on-ramps is Cryptocurrency ATMs – where users can burn some cash but get digital assets in return. Of course, in every city, these are not ready to meet the needs of all users. There are often certain limits to the assets on offer, so going this route the risk is 50%.
RAMP Defi is cross-chain liquidity open/close platform focused on providing investors with the opportunity to use (non-ERC20) tokens directly on the Ethereum platform. This is done through RAMP’s stablecoin USD, which acts as a bridge between platforms beyond ERC20 and within the Ethereum network. Additionally, users can deposit ERC20 tokens into RAMP liquidity pools to generate eUSD, which can be used to purchase goods.
Ramp Defi was born to target an existing problem in the DeFi array, which is the problem of profit optimization.
The development of the DeFi ecosystem in 2020 is really impressive but it can be seen that it mainly takes place within the Ethereum network, which makes it difficult for investment groups to pour capital into projects outside the network. Ethereum will not be able to participate effectively.
Before Ramp DeFi was born, if these groups wanted to participate in investing in the Ethereum network, there were only two options, one is to inject new capital, or to exit existing positions (besides Ethereum) to join. In general, the above two methods are not optimal.
RAMP DEFI proposes for some capital staked on non-ERC20 blockchains to be collateralized into a stablecoin called “rUSD”, which is issued on the Ethereum blockchain via a bridge.
By lending, borrowing, or initiating liquidity of stablecoins, holders can use their rUSD to generate profits or swap into USDT/USDC freely, creating a seamless “ON Ramp or OFF Ramp” funding.
Users can now own by participating in public sales or private sales to buy RAMP. Once officially in operation, users can directly participate in the Farm to be able to earn tokens by participating in Yield Farming pools such as:
- Delta Pool: Get RAMP tokens based on the rate of interest fees generated by lending and borrowing at rFinance.
- Beta Pool: Liquidity providers can fully mine RAMP by providing liquidity through RAMP token transactions at Uniswap.
- Alpha pool: Lock user’s assets to mint eUSD and rUSD, then get RAMP tokens.
- In addition, users can also buy RAMP tokens at exchanges that have listed this token on the market today.
The current RAMP DeFi is geared towards using RenVM to interact with the Ethereum ecosystem and non-ERC20s as collateral.
According to Defipulse statistics, in the current market, DeFi has been around for quite a while, their recent boom is the result of a long period of accumulation. This is the very beginning that will also drive all the innovations in the financial sector of the future.
The innovation began with the transformation of commercial products related to lending and borrowing. Thus RAMP Token is the Native Token of the project.
In the long term, RAMP Token has a monetary value with full value and depends on the Total Value Locked of the ecosystem. In the long run, prices will follow value.
Besides, RAMP DeFi also has some other outstanding advantages such as:
Issuing rUSD Without Stabilization Fee
Currently, RAMP DeFi will not be subject to any market stability fees. This is also the outstanding advantage of RAMP to make it easier for users to participate.
Systematic Value Insurance
In the event of “flash cash” incidents, another stable coin protocol mints and sells protocol tokens to support the value of stable coins. In addition, RAMP also deployed a liquidity pool that serves as the first level of insurance collateral for rUSD prior to the RAMP token sale. This has also provided an insurance cushion for the value of RAMP tokens.
The above article has provided an overview of Crypto on-ramp and RAMP Defi. Hopefully, the given information can help you to have a better understanding of the mentioned cryptos, and thus, make better investment decisions. If you have any further questions, feel free to leave a comment below or contact us. Good luck with your investments!