[DeFi products] - Crypto Academy / S4W8- Homework Post for @reminiscence01".

Hello everyone 🤗
I hope we are all doing well today..
I'm glad we all are fine.
I, Emmanuel,who goes by the username @dibie have gone through the lesson by professor @reminiscence01 and I must say it was a wonderful experience reading through it.
so today,I will be working on the assignment of the lesson and I implore you to sit back as I take you on a wondrous ride towards exploring some key points taught in the lesson 🤗

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.a) In your own words, explain DeFi products and how it is shaping the present-day finance.
b) Explain the benefits of DeFi products to crypto users.

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In the cryptocurrency world,Defi is something that isn't strange anymore, especially to cryptocurrency holders who trade often.
Although it might not be as popular as other crypto terms, but it is a necessity for those who understands what trading and financial activities is all about in the cryptocurrency world.

However,before I delve into the crux of explaining what Defi products are,it is imperative that I firstly elucidate what Defi means to a considerable extent inorder to make our walk towards explaining it products a walk in the park.
Truth is,there is no way we are going to have a conversation on Defi products without talking about the Defi system which brought about the products and a platform in which this products are exhibited.

What is Defi
Defi which is an acronym of decentralized finance is a system which makes readily available financial service products which are decentralized exchange known as DApps on a public decentralized blockchain, whereby creating easy accessibility for anyone to use and have total control.

It is a peer-to-peer transaction network which involves traditional financial services such as buying, selling, borrowing and even loaning.All aforementioned activities can be carried out on the Defi system.

It also involve the buyers and sellers as well as borrowers and lenders to interact directly with each other without the involvement or interference of a 3rd party or middlemen.

Having elucidated that,we can now proceed to explaining what Defi products are

Defi products
Defi products are financial services tools that are made available on the Defi system to aid seamless and permissionless financial services and transactions.

Since this tool/DApps are decentralized,it creates no room for 3rd party or intermidiary involvement in financial transaction, keeping financial activities solely between 2 parties.

This products are there to facilitate traditional financial services which comprise of lending,trading, payment as well as investment without the interference of a Centralized authority or body.

Defi products is doing well in revamping the financial sector of the world by cutting cost of transaction, increasing liquidity and also eliminating the need for central authority involvement in financial transaction which has inturn increase the speed of transaction processing since it now run autonomously with every user in charge of traditional financial services.

Benefits of Defi products

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The Defi products comes with lots of goodies and benefits,which are enjoyed and can be enjoyed freely by user on the blockchain.These benefits inturn aid traditional financial services on the products and also make transaction smooth and secure.
here are some of the benefits below

•Openingness & Immutability:-One thing about decentralized system as a whole is that it operates on the "transparency" principle and Defi products are no exception because they are decentralized.
Since all records/data are visible and recorded in an open ledger, making room for easy accessibility and can be viewed by users but can't be alter or changed once recorded,this will create room for transparency and openingness during financial services and transactions and also provide wide market efficiency.

•Lower Transaction Cost:-Using Defi products reduces the cost of transaction for traditional financial services to a considerable amount.
The sole reason why cost of transaction is high in a centralized financial system can be link to the involvement of intermidiary which is not present when using Defi products, because it is decentralized with no involvement of middlemen or central authority.

•Trustless:-Using Defi products bestows total control upon a user, granting each user full automy over their asset and so they do not need to trust or relay on a central authority or 3rd party when it comes to management of their assets.
So when using Defi products,there is no need to trust anybody but yourself since you are the only one involve.

•Permissionless:-It gives free accessibility to any interested user,since it is decentralized with no one particularly in control whereby providing free entry to participants.
A user do not require an invitation or referral from a 3rd party or central authority.

• Autonomous:-Defi products are decentralized,a user is in full control over their assets and can validate transaction without the approval or involvement of a central authority.
The private key which also serve as proof of ownership is also in the possession of the user.

Discuss any DEX project built on the following network.
•Binance Smart Chain
•Tron Blockchain

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Before we discuss some Dex project on the binance smart chain and tron blockchain,it is expedient that we understand what DEX means and then we can proceed to doing justice to this question.

DEX otherwise known as decentralized exchange can be referred to as a peer-to-peer transaction network or market place which allow cryptocurrency buyers and sellers to Interact directly with each other and keeping transaction solely between both parties without the involvement of a central authority.

DEX built on Binance smart chain
A lot of dex are built on the binance smart chain but I will be discussing only one today which is pancake swap.

PANCAKE SWAP

Pancake swap which happens to be a DEX built on the binance smart chain is inarguably the most popular and dominant DApp on the binance smart chain. It is a platform which create room for users to trade binance coin known as [BNB] and other kinds of bep20 token without the interference of a central authority.

Pancake execute trade via smart contract which inturn eliminate risk.
The team behind pancake swap is completely anonymous and not know to anybody,but fact is,the team is supected to consist of about a dozen members known as chefs.

The native token of pancake is CAKE which is use to perform various activities and functions like staking,voting,lottery and yield farming in the dex project.

Features of pancake swap

-Yield farming:-A user can earn reward on pancake swap just by staking supported liquidity provider tokens in any of the available yield farm on pancake swap.

-Syrup pool:-This is also a feature that allows user to stake coins in Bep20 token to earn reward token or cake which is the native token of the DApp.

NFT collectibles:-This feature enables users to choose an NFT profile picture after they must have bought a bunny NFTs.A user who have successfully completed their profile can participate in special team event and as well gain reward

-Community Governing on pancake swap
A user who is in possession of the cake token which is the DApp native coin can participate in voting to elect governance on the blockchain.The more cake token a user has is the more Influence they possess during voting process.

DEX built on Tron Blockchain
Just like the binance smart chain,a lot of DEX project are also available on the Tron blockchain,But today I will be discussing only one which is Justswap

JUSTSWAP

Justswap which is a dex built on the Tron blockchain happens to be the first decentralized exchange on the tron blockchain which allows users to swap or exchange TRC20 tokens and also earn transaction fee by supplying liquidity to the pool.

Advantage of using justswap

-Easy accessibility:it is open for everyone to use and very easy to operate and use,it also do not require personal information to create account.

-Unlimited liquidity:in justswap, liquidity is unlimited.Trader can provide liquidity as much as they want since it goes without saying that liquidity is a major component when it comes to trading cryptocurrency.

-Instant exchange:- it provides room for instance exchange of marching other instantly without wasting time.

-It is impossible to hack because it is decentralized and controlling power doesn't lie at a point.

-Transaction is solely between two parties,no involve of a middleman.

-Justswap is a DEX that doesn't charge any trading fee.

Some tokens that can be exchanged on Justswap

-USDC
-SUN
-NFT
-WBTC
-WTRX
etc,these are some of the token that can be exchanged on justswap.

NB: To be able to use justswap DApp,a user must ensure to connect a Tronlink wallet to the DApp in order to carry out transaction.. Tronlink seem to be the gateway to access this decentralized exchange.

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

JUSTSWAP (TRON BLOCKCHAIN)
Here I will be swapping 2TRX for USDT,here is the process to carry out this operation on Justswap and my screenshots to butress my point.

8_{Transaction is successful 😋}

Information/details and proof of transaction can be check and view on tronscan
Here is my screenshots from tronscan regarding my transaction.

PANCAKE SWAP (Binance smart chain)
I will be using the pancake swap to swap BUSD into BNB ,I will be doing this with the help of my screenshots for easy explanation.

1_{•step1:open trust wallet and click on DApp icon below the interface,a menu will appear showing different kind of dapps,select "pancake swap" under popular DApps as seen in my screenshot .}

2
_{•step2:proceed to select the bep20 token of your choice you wish to swap.In my screenshot,I decided to swap BUSD into BNB which is the native token of binance smart chain/binance chain.}

3_{•step3: confirm swap by clicking on the confirm button below}

4_{•step4:proceed with the swap transaction by clicking on the approve botton below.}

5_{•swap transaction has been submitted,we can proceed to view details and information as well as proof of transaction on BscScan}

6_{•this is the details and proof of success of the transaction on BscScan}

CONCLUSION

After doing my research on Defi all thanks to this wonderful assignment,I got to realize that Defi possess the potentials to revamp the financial sector of the world as a whole. Defi comes with lot of advantage that will further aid traditional financial services when doing business transactions. I also won't fail on my part to appreciate the effort of professor @reminiscence01 for putting together this wonderful piece of work to engligthen us.

Thanks for reading through 🤗

_{regards: professor @reminiscence01
Assignment by @dibie}