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Finance and Investing

DeFi (short for "decentralized finance") refers to a variety of financial applications built on blockchains. DeFi applications are smart contracts that allow participants to participate in financial actions like borrowing and lending, without needing intermediaries or trusted third-parties like a bank or broker.

The key benefit to moving 99% of finance on to a blockchain is that it allows regular people to participate in the financial system in ways they can't today. For example, most people don't know what a market maker is, even if they did know, they'd have a hard time becoming one. Via Uniswap, anyone can become a market maker.

What is DeFi? Decentralized Finance Explained - Video

What is Yield Farming? Beginner's Guide

Liquidity Mining: A User-Centric Token Distribution Strategy

Trading#

Trading protocols let you swap one ERC20 token for another.

Uniswap#

Uniswap - A Unique Exchange - A good introduction on fundamental ideas behind Uniswap

Minimum Viable Exchange and this gif - Gave you a good intuition about how the constant product market maker model (x*y = k) works

Uniswap Explained - How to use Uniswap with screenshots

Uniswap Guide with Advanced Tips and Trips - Video

Uniswap docs

How it works

Constant Function Market Makers: DeFi's "Zero to One" Innovation

Uniswap V2 Overview - What's new in v2 Uniswap V3 Overview - What's new in v3

Uniswap smart contracts

Market Making Returns

(Optional) A good deal for liquidity providers? - Explains impermanent loss

(Optional) Understanding Uniswap Returns

(Optional) Introducing UNI

(Optional) Uniswap's retroactive airdrop vote put free money on the campaign trail - about airdrop and governance

Technical Aspects

Quests

  • Swap some ETH for another ERC20 token (preferably Stablecoin like DAI) on Uniswap
  • Add liquidity to a Uniswap pool
  • (Optional) Remove liquidity from the Uniswap pool
  • (Optional, advanced) Create your own ERC20 token, and add it to Uniswap

Curve.fi#

Curve.fi is an automated market maker similar to Uniswap, but trying to fix some of the issues with how Uniswap works. Please read the Uniswap section first.

Curve.fi, how to get started?

Curve.fi docs

Curve.fi smart contracts

What is yCRV: A comprehensive guide - also explains yDAI, yUSDC, yUSDT, yTUSD

How do liquidity pools work? - Video

Quests

  • Swap some stablecoins on curve.fi, e.g. DAI to USDC. What's the pros and cons vs. using Uniswap?

  • (Optional) Provide liquidity to a pool (e.g. Pool #0 Compound) on curve.fi - select desired pool, go to "deposit" tab. Compare this to providing liquidity to a uniswap pool.

    To boost your CRV rewards, before deposit, you can use calculator to identify veCRV amount for 2.5x, mint veCRV with locker (must go buy CRV); and press "Deposit and stake in gauge" while deposit.

  • Withdraw liquidity from a pool - select pool, go to "withdraw" tab.

  • Loopring is another decentralized exchange. It is a "layer 2" exchange built with zkSNARKS. Make a transaction on Loopring.

Balancer#

How to make money with Balancer - with Screenshots

How to create your own Balancer pool -with screenshots

pools.vision - a pool explorer for balancer liquidity pools

Balancer docs

(Optional) Calculating value, impermanent loss and slippage for Balancer pools - math

(Optional) Incident with non-standard ERC20 deflationary tokens - how Balancer got hacked

Quests

  • (Optional) Add liquidity to a Balancer pool and earn fees

Lending#

Compound#

A graphic Guide to Compound - An overview

Compound docs - Worth going through, especially the guides

How to Earn Interest and Borrow Ethereum Assets - With Screenshots

Compound calculator - Shows you how much $COMP would be distributed based on tokens supplied and borrowed.

(Optional) How to maximize yield farms with Instadapp

Compound Governance

Quests

  • Supply some assets on Compound to start earning interest, and borrow some assets, calculate how much $COMP you are earning using compound calculator. Can do this on a testnet.
  • (Optional) Aave is another lending protocol. Deposit some ETH into Aave and start earning interest on your deposit from borrowers. Note: Given the amounts you'd be likely to deposit, your transaction fees will likely be much greater than the interest you earn. This quest is primarily for education purposes—don't expect it to earn you a substantial amount of crypto!

Synthetic Assets#

The promise and potential of synthetic assets

UMA#

UMA - Enabling Universal Market Access

UMA "Priceless" Synthetic Tokens

UMA's Data Verification Mechanism - oracle

Synthetix#

(Optional) What is Synthetix and how does it work?

(Optional) Synthetix SNX Staking & sUSD minting tutorial

Oracle#

Decentralized oracles: a comprehensive overview

So you want to use a price oracle

My notes on Chainlink - a talk I gave on explaining how Chainlink works (very basic)

Implementing a blockchain oracle on Ethereum

Building a price oracle on Uniswap v2

UMA as an Oracle

Yield Aggregators#

Yearn#

Yearn finance and YFI token explained - Video

What are Yearn Vaults? ETH Vault explained - Video How to use Yearn Vaults in Argent