What are the application cases of Ethereum?
(1) Decentralized Exchange (DEX): Uniswap: This is one of the largest decentralized exchanges on Ethereum. Its automated market maker (AMM) mechanism based on liquidity pool is one of the greatest innovations in the history of DeFi and has opened the era of DeFi 2.0.
(2) Lending protocols: A large number of lending protocols have emerged in the Ethereum ecosystem, such as MakerDAO, a stablecoin lending platform based on Ethereum, which provides a decentralized lending solution.
(3) Non-fungible tokens (NFTs): NFTs have also been widely used in the Ethereum ecosystem, especially in the fields of art, media and games, enabling innovative applications of digital assets.
(4) Overcollateralized lending, AMM, yield aggregation assets, synthetic assets, derivatives and algorithms: These are all important components of the Ethereum DeFi ecosystem and constitute a comprehensive decentralized financial system.
(5) Stablecoins: Stablecoins are another important application in the Ethereum ecosystem, such as USDT and DAI. These stablecoins maintain their value stability through various mechanisms.
(6) Financial derivatives: Ethereum’s smart contract functionality enables it to implement complex financial derivatives, which usually require reference to external price codes for execution.
(7) Comprehensive financial products and services: Ethereum provides a public blockchain platform for open source smart contracts that supports a variety of comprehensive financial products and services.
(8) Other application scenarios: In addition to the financial field, Ethereum can also be applied to various fields such as supply chain management, digital asset trading, and voting systems.