DeFi Products | Steemit Crypto Academy Season 4 Week 8 - Beginner's Course for professor @reminiscence01 by @abdu.navi03

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Hello everyone how are you all doing? I hope fine. I warmly welcome you to the 8th week of the 4th season. This is my second assignment of the week 8

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In this lecture by Professor @reminiscence01, we learned the DeFi Products. exploration of Defi products and the examples of Defi product

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First of all welcome to the last week(8) of the dynamic courses of the crypto academy. In this talk, we will talk about the DeFi, known as Decentralized Finance. Also, we will discuss some of its advantages, some fields where we can apply this, and the different things related to DeFi. So without any delay, let's start.

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QUESTION 01

a) In your own words, explain DeFi products and how it is shaping today's finances.

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So before starting to explain DeFi, I want you to know Defi. As some people here may already know about DeFi while many others do not. So first of all discuss what is DeFi ?

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As I have already told you that DeFi means Decentralized Finance, so DeFi is simply a field of finance in which we can apply or use it in the way of a decentralized system. As we know that the basic purpose of decentralization is to provide transparency to the system. So when we do not want any third party or intermediaries to interfere in our finance, we use it in the way of a decentralized network, called as DeFi. All of this has become possible because of smart contracts.

Taking decentralized as basics, we now know that this system is amazingly beautiful because you can perform any of your functions without anyone being interfered with. So the basic purpose of introducing a decentralized network was to eliminate the interference of third parties. There are many applications developed by this system that gives us Defi products and they are combinable with each other.

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When we talk about Defi, decentralized Finance, we need to understand that these are provided to work independently and has an independent system
For example, Uniswap is a Decentralized Exchange(DEX) that provides a medium for exchanging cryptocurrencies and tokens independently(peer to peer) without the assistance of any third party or person and provides a fast, highly secured, and transparent transaction. Another protocol that I personally use is Just swap. It is built on TRON Ecosystem. Through Just swap, the users can trade between TRC-20 tokens and this can be done at a very high speed.

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QUESTION 01

b) Explain the benefits of DeFi products to crypto users.

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There are many benefits of Defi products. Some of them are;

• Transparency: Almost all of the Defi products are working on the blockchain and are built on an open-source. So fraud is very rare. So all of the operations are very reliable. The transactions are recorded on blockchain by smart contract so all of the transactions are registered, providing full transparency.

• P2P( Independent of the third party: The Defi products does not depend on any intermediaries or third party to function or for their services as it happens in some other fields of finances or simply banks, in which we have to wait for their approvals, signatures and waste a lot of time. On the other hand, Defi products allow its users to have full authority over their assets by providing a private key by which only they can access their wallets and can withdraw their assets whenever they want.

• All time accessible: As long as we have our private key, we can access our wallets whenever we want and wherever we are in the world. We can easily access our wallets and withdraw our funds. The transactions are very easy and really quick.

• Highly Secured: As the Defi products are built on a Blockchain system, so these are highly secured. Every block has its out decode which can never e hacked by any hacker. In this way, they provide greater security than a centralized system. So by providing this security, only the owner of the account can access the wallet and withdraw his assets.

• Fraud Less: As I have already told that all the data, transactions are information are recorded by a smart contract so it is very difficult or nearly impossible to mutate the data. As all the transactions are registered on a blockchain, so it can not be modified and the Data cannot be lost and thus providing greater security as mentioned in the previous point.

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QUESTION 02

Analyze any DEX project built on the following network.

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BINANCE SMART CHAIN

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There are many decentralized projects but the project which I am going to discuss here is an exchange that is Pancake Swap. The Pancake Swap is a Decentralized Exchange(DEX) platform that has been built on the Binance Smart chain network. Through Pancake Swap, we can perform exchanges of BEP-20 tokens which uses an Automated market marker(AMM) model. In this type, we drop our order in the liquidity pool in which any other user receives it and it matches with him.

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The liquidity reserve which we have mentioned in the above para functions as when we perform transactions so a little number of our funds are stored in the liquid pool and deposited in the exchange for providing liquidity tokens (LP). So the users can participate and use those tokens to claim their presence and can also earn some rewards by the transactions of other users.

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There are many functions of this exchange, Pancake Swap. Of these functions, the first we will discuss here is

TRADE

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Pancake is a decentralized exchange platform. Here we can easily perform the exchanges of BEP-20 tokens. We have many functions of pancake swap.

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So you may be wondering that there are many exchange platforms but I chose Pancake Swap. Why? so there are a number of reasons for choosing pancake swap to perform Trading.

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The first reason for selecting Pancake swap is that it is decentralized and comes on 2nd number in the list of top decentralized exchanges. It has a very large trading volume and comes on number 3rd in the list of top 10 decentralized exchanges.

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• It is a Decentralized exchange which means that we are the owners of our assets and no other third person has any authority over our assets

• It has very Little Transaction fees because it runs on Binance smart chain and not on Ethereum which has relatively high rates.

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SYRUP POOL

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Through this, you can stake your CAKE tokens and earn rewards for staking.

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FARMING

You can also earn rewards by farming LP tokens

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PREDICTIONS and LOTTERY

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In this Defi system, one thing is very good that you can earn prizes and make predictions.

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NFT MARKET

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With all of this, you are provided with an option to Visit the NFT market where you can buy Different NFTs with BNB

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Token Coin (CAKE)

Most of the people don't know about the exchange, Pancake but almost everyone knows about its coin CAKE

The cake is the token of the Pancake ecosystem which supports it. The users are rewarded with CAKE tokens who stake their coins, syrup, or use farming. CAKE is a BEP-20 token that sets the liquidity to the pancake ecosystem.

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p.s: All the screenshots of pancakes have been taken by me from their official website pancakeswap.finance.

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Tron Blockchain

The decentralized exchange which I am using here is JustSwap. JustSwap is a Decentralized Exchange Platform (DEX) and is built on the Tron Ecosystem.

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JustSwap provides the ability to its users to exchange TRC-20 tokens with TRX and this can be done at a very rapid speed.

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The illustration above shows the tokens which are supported by the JustSwap Default Token List includes: WBTT, WTRX, JST, WIN, USDT, USDJ, LTC, TUSD, WBTC, ETH, WETH, HT.

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ORIGIN

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Just swap was launched in August 2020 and is built on the TRON blockchain

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FEATURES

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The basic feature of all DEX is to provide transparency and to eliminate any third party's interference. So Justswap is a TRON-based DEX that interexchanges TRC-20 tokens and can be connected to your TRON link wallet to create an ecosystem.

In the next question, we will create an account, link it will TRON link wallet and will show hot to swap the currency.

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EXCHANGE

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All of the users who have used Justswap will guide you that Justswap is a very easy exchange to handle with good liquidity and an amazing exchange to perform transactions of TRC-20 tokens.

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SOCIAL

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They also have a telegram and a Twitter page.

p.s: All the screenshots of JustSwap have been taken by me from their official website justswap.io.

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QUESTION 03

In the DEX projects mentioned in question 3, please provide a detailed illustration of how to trade cryptocurrencies by exchanging any crypto asset of your choice. Show proof of transaction from block explorer. (Screenshots needed)

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PANCAKE SWAP (Binance Smart Chain)

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1 : Visit the Pancake official website. Then click on connect wallet.

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2: Then choose the wallet through which you want to perform the swap. I am choosing Wallet connect.

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3: Then swap, fill the from section of the coin which you want to swap and then the to section to which you want to be transferred. You can select any tokens

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Note I was not able to perform the transactions as I have insufficient balance. However I have showed the process how to swap the coins from DEX to your wallet.

p.s: All the screenshots of pancakes have been taken by me from their official website pancakeswap.finance.

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JustSwap (TRON based Blockchain)

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1: FIrst visit the Justswap official website and then click on wallet.

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2: Then select the currency which you want to swap.

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3: Then you can connect your wallet to the TRON link wallet in your chrome extension.

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Note I was not able to perform the transactions as I have insufficient balance. However I have showed the process how to swap the coins from DEX to your wallet.

p.s: All the screenshots of pancakes have been taken by me from their official website justswap.io.

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CONCLUSION

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You have seen it yourself that it is easy to use decentralized exchanges. In this lecture, we understood the importance of Defi, how it revolutionized the world and how it is encrypting finance into a safe, secure, and providing high technology by providing very high-speed transactions. We also discussed two DEX that ere Pancake Swap and Just swap. I showed you basic guidance to it and how to swap the currencies.

In the end, I would like to thank, professor @reminiscence01 because of whom we came to know about the Defi products, decentralized exchanges. I hope I was able to meet all the objectives of this task as I put in all my efforts. So this is the end of my assignment. I hope you were able to grasp the basics of my lecture.

THANK YOU.

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ps: all the pictures have been sourced accordingly. The grammar was checked from grammarly.com while the markdowns have been done according to the Markdown Styling Guide.

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Cc;
professor @reminiscence01

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regards,
@abdu.navi03

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