Synthetic assets open up several opportunities for investors by not confining them to a specific location. If the concept excites you, there’s good news from XCarnival. Recently, XCarnival announced the completion of a multi-million-dollar seed round of financing in its quest to reinvent synthetic assets in crypto.
This investment was led by Fundamental Labs, Zonff Partners, SNZ, EVG, NGC, etc. At the same time, institutions like AU21, Incuba Alpha, DFG, WaterDrip, LD Capital, Gate, ChainCapital , Bitrise Capital, and clothes were vital participants in the investment. Given that the founder of XCarnival is a Key Opinion Leader in the Binance Smart Chain Chinese community, this will be a significant step forward for XCarnival.
Being a next generation synthetic asset platform, XCarnival has been committed to building non-standard asset leasing, pawning, and lending businesses. At the same time, XCarnival also provides several synthetic asset templates to those users who want to create financial products quickly. The first version of XCarnival is based on the deployment of R&D on the Binance Smart Chain, while it promotes R&D on ETH Layer 2 and Solana.
XCarnival Will Reinvent Synthetic Assets
Essentially, a synthetic asset is a tokenized derivative that imitates the value of another asset, with very few changes in the properties of both the assets. Recently, synthetic assets have grown in popularity since they help people who do not want to hold an actual asset.
Synthetic assets tokenize the relationship with an underlying asset rather than using contracts to build the chain between assets. As a result, synthetic assets are able to provide exposure to any asset in the world by operating within the cryptosystem itself. People now prefer synthetic assets over every other asset for a variety of reasons.
When compared to traditional derivatives, they have several benefits. Some of the most notable benefits of synthetic assets include smooth cross-border transactions, global liquidity because they can be traded on every crypto exchange in the world, the ability to swap between equities and other assets without holding the underlying asset, and the fact that anyone can issue them via unique open-source protocols. Synthetic assets also open up almost limitless opportunities and combinations for new sources of value.
Synthetic assets in Decentralized Finance
Synthetic assets play an important role, especially in the area of Decentralized Finance or DeFi. The use of synthetic USD has been of particular popularity. Today’s investors are more concerned with obtaining the best possible return on their assets than with anything else. Synthetic assets are here to save the day by enabling smoother and cheaper transactions in such a situation rather than filling out loads of paperwork and hefty contracts required of normal assets.
With the growth of decentralized finance as well as this latest round of investment in XCarnival, the year ahead is full of opportunities and looks quite promising. If you want to learn more about XCarnival and how they operate with synthetic assets, check them out below:
Website: https://xcarnival.fi
Twitter: https://twitter.com/XCarnival_Lab
Medium: https://xcarnival-lab.medium.com|
Telegram Community: https://t.me/XCarnivalCommunity :
