Investors will be able to analyze potential of DeFi projects

by in DeFi News

Investors will be able to analyze potential of DeFi projects

Many dubious crypto projects are launched in the DeFi decentralized finance market. That creates threats for investors investing in tokens.

The DeFiPulse.com platform partnered with the Gauntlet team to test a score for each DeFi project.

With the help of such software, an investor can analyze the potential of any project of interest to him before purchasing tokens. Thus, the risks of acquiring fake digital assets deployed in the DeFI ecosystem will be minimized.

The service is currently running in test mode and analyzes only part of the project reliability criteria. The developers promise that shortly they will be able to complete the software configuration, and it will start assigning ratings to smart contracts according to the maximum number of criteria.

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Now the program analyzes such factors as the behavior of project participants, instrument volatility, protocol parameters, and risks associated with the launch of smart contracts.

After that, the system issues a rating of the reliability of the crypto project from 1 to 100 points. For example, DeFi projects Aave and Compound received ratings of 95 and 91 points, respectively.

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The developers from the Gauntlet team note that in addition to the main criteria, there are factors that can indirectly affect a specific DeFi project. Potential risks, for example, associated with the peculiarities of lending, will begin to be analyzed later as the service continues to improve.

The demand for such software is increasing due to the expansion of the DeFi market. Many representatives of the crypto community fear that various scammers who launch fake tokens have already begun to use this trend.