🔔 Preface:
Have you ever thought about being able to complete borrowing, earning interest, and even trading various cryptocurrencies on your phone without banks or intermediaries, just relying on a smart contract? Sounds like a plot from a sci-fi novel? No, this is the world of DeFi (Decentralized Finance)!
In the simplest terms, DeFi makes financial services as convenient as 'Apps' without needing the 'help' of intermediaries. It's like giving those tired of traditional financial systems a 'liberation'.
However, this new world, while cool, is not without its pitfalls. Imagine just learning to ride a bike, and suddenly someone gives you a mountain bike that goes fast, but there are plenty of bumps along the way. This is DeFi—there are infinite possibilities, but also some uncertainties and risks.
💡 The Capital Frenzy of DeFi:
Speaking of DeFi, you cannot ignore the enthusiasm for capital. Just like the crazy pursuit of cryptocurrency in recent years, DeFi projects have seen waves of funding. Imagine an investor seeing a DeFi project that can easily yield a 100% annual interest rate, the excitement is overwhelming, making them want to throw money in immediately!
But things are not always that simple. While there are many 'high-yield' temptations, DeFi is like a 'testing ground' in the financial world; you never know when a project will surprise you.
In August 2024, as the market began to warm up, DeFi has reignited. Some established DeFi projects have returned to investors' sights, and everyone is looking forward to what new 'wealth codes' this market can bring.
🔻 Alright, let's get to the main text: This issue brings you 17 articles on some projects in the DeFi field. The reading time is a bit long, so as usual, please bookmark and read later. Thank you for your support!!!
💡 Project Collection Section:
➤ DODO: Finding New Opportunities in DeFi and Meme Economy
➤ FLUX: Decentralized Cloud Computing, Can It Really Support Future Applications?
➤ 1inch: An Innovative Solution for Liquidity Aggregation and Multi-Chain Support
➤ Synapse: The Universal Bridge in the Blockchain World
➤ Rocket Pool: Making Staking Simple and Fun
➤ SuperVerse: A New Ecosystem Integrating Web3 Games, NFT Market, and DeFi
➤ Pendle: A New Choice for Optimizing Yield Management in DeFi
➤ Kava: The Perfect Combination of Cross-Chain Compatibility and Decentralized Applications
➤ DIA: The Data Bridge and Ecological Expansion in Decentralized Finance
➤ Prosper: An Analysis of the Decentralized Prediction Market Platform with Cross-Chain Support
➤ Celo's Journey to Ethereum: From Independent Blockchain to Layer 2 Practical Journey
➤ Reserve Rights (RSR): The Currency Stabilizers in Blockchain
➤ ORCA: Effortlessly Navigate the Decentralized Exchange on the Solana Chain
➤ Bella Protocol: AI-Powered DeFi Experience, Convenient and Efficient!
➤ From Algorithmic Stablecoins to Decentralized Governance: An Interpretation of Ampleforth and FORTH
➤ dForce: A One-Stop Supermarket for Playing DeFi
🔻 Star Projects in the DeFi Field:
🔸 Uniswap (Decentralized Exchange): Uniswap is the 'trading god' of DeFi. Want to swap tokens? No problem, Uniswap provides you with one-stop service! Its characteristic is complete decentralization, where traders don't need to trust anyone, just the smart contract. You just need to prepare your tokens, select what to trade, and let Uniswap handle the rest! However, be aware that you may encounter slippage during trading, just like when you find out something is 'oversold' after choosing a style on a shopping website—the trading price can fluctuate from time to time.
🔸 Aave (Decentralized Lending Protocol): If you are the type of 'borrowing fanatic' or 'debt boss', then Aave is your treasure platform! Want to borrow money? Come to Aave! You can not only borrow money but also earn interest on your crypto assets. What's cooler is that Aave offers a flash loan feature—what does that mean? It's like borrowing money without collateral, instant borrowing and instant repayment, as fast as the 'bad guys' in movies, but of course, this is not for doing bad things!
🔸 MakerDAO (Decentralized Stablecoin): Want to stay calm in the volatile crypto market? Then you need to know about MakerDAO, which created the DAI stablecoin that maintains a fixed exchange rate of 1:1 with the US dollar. Yes, that's right, your deposited cryptocurrencies may rise and fall like a roller coaster, but at least your DAI won't 'crash' like Bitcoin.
🔸 Compound (Decentralized Lending Protocol): Compound is the kind of platform where you can 'sleep and earn' by putting in cryptocurrency. It incentivizes you to participate by allowing you to deposit crypto assets and earn interest. This 'bank deposit + interest earning' feeling, while it has a bit of a traditional bank shadow, does not have the cumbersome procedures of banks. The interest rates on Compound fluctuate based on market supply and demand.
🔸 SushiSwap (Decentralized Exchange): You might think from the name that it's a restaurant, but SushiSwap is actually a master of trading in DeFi! It is the 'brother' of Uniswap, offering a series of cool features like decentralized trading and liquidity mining. It has added some new tricks, like users can earn some extra 'rewards' when providing liquidity—it's like when you buy something in a mall and suddenly the clerk tells you: 'Spend a certain amount and you get a coupon.'
🎯 The Future of DeFi:
When you look at these projects, you might think: 'Are these just fleeting moments? How long can they last?' That's a good question! DeFi, as an emerging field, is booming but also faces challenges such as technology, regulation, and security. The future of DeFi may become smarter, safer, and integrated into our daily lives. Imagine a future where you no longer need to queue at a bank for services; you can handle all financial transactions with your phone, and you won't even need to manually enter payment passwords—smart contracts will do all the operations for you. Perhaps the future can really bring us a more equitable and transparent financial world.
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