1. Decentralised Finance (DeFi)

Jan 24, 2023

List of chapters in the tutorial:

Why join DeFi and what is DeFi
Creating wallets
Linking SW and HW wallet
Adding a chain to a MetaMask wallet
Adding tokens to the MetaMask wallet
Sending funds from CEX to DeFi wallet
On-chain transaction
Sending funds via a bridge

Welcome to the amazing world of Decentralized Finance!

How to get started in DeFi? What are the first steps when we want to get started? That's what we'll show you in this tutorial. We will select wallets, set them up, and show you how to get your funds into DeFi. In addition, we will teach you how to use the bridge between chains, how to minimize investment risk, and how to safely navigate in the DeFi world. So let's get to it!

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Why join DeFi and what is DeFi:

One of the big advantages of DeFi is the usability of a token for native coin holders and coin multiplication. If you don't want your assets to just idle on the exchange, DeFi is the ideal investment opportunity, especially in a bear market.

Anyone with an internetconnection can access DeFi platforms and participate in decentralized global transactions.

With low fees combined with globally high-interest rates, DeFi in the world of loans allows both parties to negotiate their own interest rates and lend money.

Smart contracts deployed on the blockchain allow anyone to check completed transactions but do not reveal the identity of the parties.

DeFi eliminates the fees that banks and other financial companies charge for using their services and supports Peer-2-Peer (P2P) transactions. Individuals hold money in a secure software or hardware wallet and can transfer it in a matter of minutes.

DeFi is an emerging financial technology that challenges the current centralized banking system. It also takes key elements of the work done today by banks, exchanges, and insurance companies (such as lending and trading) and puts them in the hands of ordinary people.

DeFi is freedom!

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DeFi disadvantages and risks:

participation in DeFi is complex and not easy to understand
high level of volatility
scam projects

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Conclusion

Decentralized Finance (DeFi) is an emerging financial technology that can be accessed by anyone in the world with an internet connection. DeFi eliminates the fees that banks and other financial companies charge for using their services and supports Peer-2-Peer (P2P) transactions. DeFi platforms do not rely on centralized financial institutions.

In the following guide, we will show you step-by-step how to do it. In the first step of the tutorial, we will show how to create a software and hardware cryptocurrency wallet.

Analyst opinion

DeFi gives us another opportunity to use blockchain. It is a new area in the crypto world where we can direct our attention if we are interested in an investment. However, it is also worth pointing out that you can fall for a scam and lose your funds. It is therefore important to have a certain level of knowledge to minimize the risk of loss. We can determine the level of risk according to the investment. However, DeFi definitely deserves our attention and exploration.