How to DeFi: Beginner

To participate in DeFi, one has to lock tokens in smart contracts. Tokens locked in smart contracts are potentially vulnerable to smart contract exploits due to the large potential payout. While most projects have gotten their codebases audited, one will never know if the smart contracts are truly safe. There is always a possibility of a hack which

Who uses Aragon? Prominent DeFi projects such as Aave and Curve use Aragon. As of September 2020, more than 1,600 DAOs have been created with $350 million stored in Aragon.

Here are some of the limitations: 1. Lower liquidity The majority of crypto trade still takes place in centralized exchanges. Historically, order books on CEXs have been deeper when compared to DEXs, and traders can thus get better prices when making trades on CEXs.

Not all stablecoins are the same as they employ different mechanisms to keep their peg against USD. There are three types of stablecoins—fiat-collateralized, crypto-collateralized, and algorithmic stablecoins. Most stablecoins use the fiat-collateralized system to maintain their USD peg.

Liquidators can utilize flash loans to borrow capital as part of their liquidation bond and get that liquidation bonus without using their capital.

Maker (MKR) is Maker’s governance token, and users can use it to vote for improvements on the Maker platform via the Maker Improvement Proposals. Maker is a type of organization known as a Decentralized Autonomous Organization (DAO).

Uniswap is a decentralized token exchange protocol built on Ethereum that allows direct swapping of tokens without the need to use a centralized exchange. When using a centralized exchange, you will need to deposit tokens to an exchange, place an order on the order book, and then withdraw the swapped tokens. On Uniswap, you can simply swap your tok

There are two main options flavors, namely American and European options. The difference between the two is that for an American option, the buyer can exercise the option anytime before the expiry date, whereas for a European option, the buyer can only exercise it only on the strike date.

many teams worldwide are hard at work trying to improve the experience. Have a look at some of them and the aspects they are attempting to solve: Wallet - Argent is creating a radically better user-focused crypto wallet experience, with state-of-the-art security, native integration with DeFi Dapps such as Compound and others, as well as not needing