How to DeFi: Beginner

DEX aggregators pool liquidity from the various DEXs in the market to help traders execute large trades at the best price. With DEX aggregators, traders can automatically split their large trades into smaller parts and route them to the relevant DEXs for the best execution price. Examples of DEX aggregators include 1inch, Paraswap, and Matcha. We w

Tether (USDT) was one of the first centralized stablecoins to be introduced. Every USDT is supposedly backed by $1 in the issuer’s bank account. However, one major downside to USDT is that users need to trust that the USD reserves are fully collateralized and actually exist.

Unlike centralized exchanges, Uniswap as a decentralized exchange does not have a team or gatekeepers to evaluate and decide on which tokens to list. Instead, any ERC-20 token can be listed on Uniswap by anyone and be traded as long as liquidity exists for the given pair. All a user needs to do is interact with the platform to register the new toke

One such DeFi project explored in this book aims to change the way we approach payment by reconfiguring payments as streams instead of transactions we are familiar with. The possibility of providing payments as streams open up a plethora of potential applications of money. Imagine “pay-as-you-use” but on a much more granular scale and higher accura

Nexus Mutual is a decentralized insurance protocol built on Ethereum that offers cover for smart contracts on the Ethereum blockchain and custody cover for centralized lenders and exchanges such as Celsius, Blockfi, Nexo, Binance, Coinbase, Kraken, and Gemini. As of December 2020, Nexus Mutual provides cover for 64 smart contract protocols.

There are several dashboards in the market with the capacity to track your assets, but the two leading players for dashboards are Zapper (previously known as DeFiSnap) and Zerion.

What happens is that you will mint or ‘borrow’ DAI via the Maker platform by putting your Ether (ETH) as collateral. You will have to repay your ‘loan’ along with the ‘loan interest’ which is the stability fee when you want to redeem your ETH at the end of your loan.

Decentralized lending and borrowing remove this barrier, allowing anyone to collateralize their digital assets and use this to obtain loans. One can also earn a yield on their assets and participate in the lending market by contributing to lending pools and earning interest on these assets. With decentralized lending and borrowing, there is no need

Smart Contract Cover offers coverage against smart contract failures, protecting against potential bugs in smart contract code. The coverage intends to protect against financial losses due to hacks or exploits in the smart contract code. Note that this insurance product only protects against “unintended uses” of smart contracts. Security events tha