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Infinity Exchange unveils its plan to develop $1 trillion crypto market after launching its testnet

Infinity Exchange, a decentralised finance protocol that provides unprecedented capital efficiency for traders, yield farmers, and real-money investors, has announced the official launch of its testnet. The launch of the testnet comes on the heels of Infinity Exchange’s announcement that it would be launching its mainnet.

According to the press release, the team behind Infinity Exchange said that the move is being made to develop the next market in the cryptocurrency field that would be worth $1 trillion.

According to the team, the introduction of their testnet is a significant milestone that will, for the first time, introduce institutional interest rate market mechanics and risk management from TradFi to DeFi markets.

Because of this, institutional adoption of DeFi will become feasible, which will result in an increase in the total value locked (TVL) throughout the sector as a whole.

By developing a protocol that employs the same mechanisms and achieves the same efficiency as those associated with TradFi markets, and in particular the interbank loan market, Infinity Exchange is certain that it will revolutionise the DeFi environment.

Traders will be able to hedge their basis/rates risk and speculate along the whole length of the maturity curve thanks to the fact that Infinity Exchange will also be offering the first comprehensive yield curve in DeFi. This yield curve will include both floating and fixed interest rates.

Lastly, Infinity Exchange said that it would make it possible to manage a broad variety of complicated collateral that is now in a position where it cannot create yield. It is anticipated that this move would present traders with one-of-a-kind possibilities to arbitrage interest rate differentials between other lending procedures and Infinity.

The group emphasised that it is getting ready for a crypto-based institutional fixed income market and opening the road for traditional investors to start investing in decentralised finance in significant numbers. Consequently, establishing the next market worth a trillion dollars.

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Jeewan Singh is CryptoShrypto’s content writer and a seasoned writer with over two years of experience in writing about Indian Securities Market. Jeewan's participation in Blockchain and Cryptocurrency started in late 2020, and he hasn't looked back since. The technical and economic outcomes of cryptocurrency are what spark his curiosity, and he keeps one eye on the market.
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