very day more and more people understand the fundamental importance of DeFi. The idea of DeFi became possible to implement thanks to blockchain technology. After all, first of all, DeFi is the replacement of centralized facets of the financial system with decentralized databases. Now anyone can create a cryptocurrency wallet, replenish it and use DeFi to the fullest. This person opens up a diverse world of lending, replenishing a deposit, exchanging cryptocurrencies, sending to another person, and most interestingly, all this without a centralized governing body. But with its rapid popularity, DeFi has faced new challenges — scalability, security, transaction speed, and ease of use.
Therefore, today I want to introduce you to the L1 blockchain, whose team strives to solve these problems. Meet Sei.
Sei is an L1 blockchain designed specifically for DeFi. The main mission of Sei is to create the best infrastructure for decentralized finance.
Why Cosmos
The team chose Cosmos to develop their product and it is not surprising because developers can use Cosmos SDK for development and Tendermint core as a consensus mechanism. Another important advantage of Cosmos is the Inter-Blockchain Communication Protocol (IBC). Thanks to this technology, blockchains in the Cosmos ecosystem can directly communicate and trade assets. All these advantages became an ideal basis for the implementation of Sei’s ideas.
How Sei solves the problems of Defi
High level of security
Sei currently supports a set of validators that were selected during the Seinami test network. Additionally, Sei uses time-based batch auctions to displace MEVs — Sei can bundle all orders together at the end of a block and execute all market orders at the same price to prevent premature closures. Sei is built using the Cosmos SDK and Tendermint Core, a technology stack proven in operation by the largest networks.
Scalability
The biggest achievement is the embedding of the order matching mechanism into the network itself. Sei serves as a decentralized NASDAQ, enabling new types of financial products from real-time sports betting to complex options and futures. Sei has also developed a proprietary order matching engine that provides tremendous scalability for DEXs built on Sei.
Performance
Sei currently offers the fastest (TTF) in web3, which is 600ms. TTF measures the time elapsed between sending a transaction and its confirmation. Sei transaction throughput is 22000 transactions per second.
It is not so if you think that the speed of transactions will harm security and stability.
Read more about the advantages of Sei over other blockchains:
Most recently, Sei announced the creation of the Sei Ecosystem and a $50 million liquidity fund to support the development of new applications on Sei and help teams with initial liquidity loading before launching the main network. Currently, more than 70 teams from Solana, Polygon, AVAX, Terra, Polkadot, NEAR, and many other ecosystems are developing their products in the Sei ecosystem.
Partnerships
Equally important are Sei’s partnerships with other projects. These partnerships allow Sei to achieve its goals faster. Currently, Sei cooperates with Axelar, Satori, Vortex, UXD, Nitro, and others.
Now let’s see what these partnerships will bring to Sei.
-
The collaboration with Axelar will help Sei to provide cross-network messaging between IBC and EVM, which will allow liquidity to flow from one blockchain to the other and greatly expand the possibilities for Sei users.
-
The integration of Leap Wallet will make it much easier for users to interact with Sei, as it is a cryptocurrency wallet that supports IBC and is simple and easy to use even for beginners.
-
With KYVE, Sei can have a scalable data lake that will allow querying and accessing raw data securely and efficiently.
-
Multichain will allow Sei users to transfer assets or trigger smart contracts using cross-chain messages because Multichain is an ideal router for web3 and an infrastructure designed for arbitrary interactions between chains.
So, having analyzed all of the above, we can conclude that Sei is the first L1 blockchain that comes as close as possible to solving the problems of modern DeFi. Sei has huge scalability, high security, the fastest chain, and cool partnerships. All this makes Sei the best L1 blockchain for DeFi.
Twitter https://twitter.com/SeiNetwork
Website https://www.seinetwork.io/