How Decentralized is DeFi? It is not easy to answer how decentralized DeFi is. For simplicity, we will separate the degrees of decentralization into three categories: centralized, semi-decentralized and completely decentralized. Centralized ○ Characteristics: Custodial, uses centralized price feeds, centrally-determined interest rates, centrally-pr

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On the other hand, liquidity pool DEXs such as Uniswap and Balancer lets users become the market makers by providing liquidity to a pair or pool of assets. Users deposit their assets and become liquidity providers, earning a small fee for each swap transaction performed for that particular pool. However, the mechanisms behind these types of DEXs, w

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For DeFi Dapps to work, a collateral locked into smart contracts is usually required. The cumulative collateral locked in DeFi Dapps is often referred to as the Total Value Locked, which serves as a growth indicator of the DeFi ecosystem. In our earlier edition, we highlighted that the Total Value Locked at the start of 2019 measured around $275 mi

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