Crypto investors, and web3 entrepreneurs should develop a deeper understanding of liquidity pools on decentralized exchanges (DEX) to maximize their success. Decentralized Exchanges Exchanges are meant to match buyers and sellers for any products or assets to be exchanged. In the case of currencies, the exchange is the middleman between the two…

Where they come from and what can be done about them — Liquidity providers to the Uniswap exchange and other Constant Function Market Makers such as Curve.fi and Balancer.io are known to suffer from “impermanent losses” — a phenomenon where certain trading patterns result in a loss of value of the liquidity pool, despite its growth from trading fee income. …

Web3 projects are big on using tokens. With good reason. Beyond decentralization, adding ‘money’ to the internet is one of the big innovations crypto has brought to the table. But when do tokens make sense and when don’t they? Why use a token? Web3 is built around decentralized systems. That means that the core…

How much token liquidity is needed in a liquidity pool? What are the considerations you need to take into account a when setting up a liquidity pool? How do liquidity pools work anyway?? Liquidity pools are a key part of web3 projects and I’ll be answering all of these questions…

This article was originally posted as a Twitter thread, you can check it out here. MakerDAO is the largest decentralized stablecoin protocol with 6.4 billion DAI outstanding, collateralized by over $8 billion of crypto and real-world assets including USDC, USDT, ETH, BTC, and stETH. …

Maker DAO is the protocol for supporting the stable token, DAI. This article is the description of the protocol based on the real examples of transactions, illustrated by graphs from bloxy.info web site. — Introduction The protocol is implemented as smart contracts: Sai Tub: https://bloxy.info/address/0x448a5065aebb8e423f0896e6c5d525c040f59af3 which accepts wrapped Ether ( WETH ) as the collateral for DAI debt, and

DeFi gets increasingly crowded. Retail investors need heavy, independent curation in order to navigate the complex landscape of protocols. With over 18,000 crypto-assets, millions of smart contracts, and dozens of decentralized exchanges (DEXs), it has become increasingly difficult for retail investors to navigate the DeFi space. Every day, hundreds of…

Know how the top DeFi protocol works under the hood — Welcome to the in-depth DeFi series! This series will be composed of several posts; each one will consist of an explanation of an individual protocol. The main purpose of this series is to understand from a first-principles approach how the top DeFi protocols work under the hood. We will review…

Build a decentralized lending protocol from scratch with hardhat, Solidity and Typescript. Introduction Today we are going to learn how to build your own lending protocol, using Solidity, Typescript and Openzeppelin. First, I have to explain exactly what we are going to build and then jump right into the code. Second…

The decentralised finance space has grown at a staggering rate. Widely considered the main use case for the Ethereum blockchain alongside the burgeoning NFT movement, DeFi has brought almost $100 billion of value locked on the network. Without a doubt the biggest catalyst for DeFi’s growth has been the emergence…

Correction: In the original article, I talked about how the hacker profited by crashing the price of WBTC — in reality, the hacker actually crashed the price of WETH and a few details in this article have been corrected accordingly. …

A 12-month plan for how Olympus will achieve its goal of becoming Web3’s premiere decentralized reserve currency The Road So Far The goal of the Olympus protocol has always been to create a decentralized, censorship resistant reserve currency for the emerging Web3 ecosystem. Developing a reserve currency is important because…

In an economic environment that leaves us all chasing yield with the dollars we earn, a traditional savings account that once provided a respectable return on your money is no longer reliable. The 5% annual return that was once possible by leaving your money in a savings account at the…

Olympus DAO is an ambitious project created by Zeus aiming to become a decentralized reserve currency protocol based on the OHM token. What is OlympusDAO? In the same way the Federal Reserve manages the US Dollar using reserve assets, Olympus DAO manages the OHM token using crypto reserve assets such as DAI. So…

As Bitcoin fails below the bull market support band, but has found decent support at the 200 day moving average for the last five days, the alt-coin market is bleeding out. Leading that bleeding are all the rebase tokens with many of them not only below their backed value, but…

Matter Labs is honored to announce a Series A round for zkSync from some of the most reputable projects in the blockchain space. — This round is led by Union Square Ventures, an early investor in Twitter, Cloudflare, Firebase, Twilio, MongoDB, and Coinbase. It also includes our existing investors — Placeholder, 1kx, and Dragonfly — who have provided us with incredible support over the last two years. …

What if I told you that you can borrow unlimited amount of money for a few seconds with no collateral and minimal risk? Flashloans make it possible to do just that. — What is a Flashloan? Most people are familiar with normal loans. A lender loans out money to a borrower to be later paid back with an interest. The borrower pays to the lender for temporarily parting with the money (collateral). Flashloans are a bit different.

Challenge #7 — Compromised — Today, I’m going to show you a Typescript & Ethers.js implementation of Damn Vulnerable Defi challenge #7 from OpenZeppelin. Damn Vulnerable Defi A set of challenges to hack implementations of DeFi in Ethereum. Featuring flash loans, oracles, governance, NFTs, lending pools, and more! GitHub / Website You get to learn some techniques to…

To create unstoppable, upgradable financial infrastructure, Governance replaced our team as administrator of the Compound protocol; COMP token-holders and their delegates debate, propose, and vote on all changes to Compound. The stakes are high — the protocol holds more than $100 million of assets, and dozens of applications rely on…

I put a SPELL on you! — I was out flying with my friend the other day when he screeched, “I’m running out of gas!” As he rapidly fell from the sky, I raced over to try and catch him. “How are you running out of gas?” I asked. “Aren’t you using QuickSwap?” He screamed, “Yes, when…