Author: misamaliraza94
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Are DEFI’s risks worth it?
DEFI only emerged a few years ago yet has already grown to manage over $200bn in crypto funds. There is clearly a huge demand for services that enable crypto investors to generate active returns from their funds rather than just hodling. However, DEFI’s immaturity, decentralised nature and allure of financial opportunity have generated significant risks…
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What are the types of DEFI Risks?
The huge attraction of DEFI is that it empowers cryptocurrency holders to consume financial services typically only available to accredited investors while allowing them to retain control over their funds. The flipside of this autonomy is that users assume the risks usually borne by traditional intermediaries such as banks. We can group the different types…
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What is DeFi and How Does it Work?
DEFI is only possible because of the Turing Complete nature of the Ethereum blockchain. Being Turing Complete simply means that Ethereum is capable of executing any instruction that can be reduced to mathematics. Those mathematical instructions are programmed using a purpose-written language called Solidity to craft Smart Contracts, which automate financial services. That Smart Contract…
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What does DEFi stand for in cryptocurrency?
DEFI stands for decentralised finance and is a catch-all for a range of blockchain-based financial services automated by Smart Contracts and delivered through digital applications (dApps) that users can connect directly to without any formal vetting process. According to DefiLama, over $200bn of cryptocurrency is currently locked in DEFI applications with over half of that…
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What are the risks of DEFI?
What you’ll learn : What does DEFI stand for in crypto? What is DEFI and how does it work? What are the types of DEFI risks? Are the risks worth it? DEFI gives anyone with an internet connection and a supported cryptocurrency wallet access to financial services previously off-limits or restricted by KYC. Centralised intermediaries…
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Crypto Token Standards for Other Blockchains
Though Ethereum established the concept of a Turin Complete computational blockchain, it wasn’t long before other chains emerged, often looking to emulate, and improve on, its use of Smart Contracts while applying token standards that are very similar. Tezos Token Standards The Tezos blockchain offers Smart Contract functionality but is designed to provide a more…
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Ethereum security token standards
Ethereum token standards have improved and evolved to match new use cases. For example, ERC-1400 provides a library of standards allowing tokens to function as securities. ERC-1400 Security Token Standard Most people would understand the term security in reference to a stock or share in a company. ERC-1400 creates a standard way to tokenise securities…
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What are NFT token standards?
The other most common Ethereum token standard provides the opposite utility to a fungible token. It creates a form of value that isn’t interchangeable but is unique, a Non-Fungible Token aka an NFT. You would have to be living off-grid not to have heard mention of NFTs. NFTs function as receipts of ownership for things…
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Types of token standards?
Ethereum provides a token standards list described in ERC format and a number. ERC stands for Ethereum Request for Comment and refers to a technical document that blockchain developers can reference when writing Smart Contracts and building dApps. The ERC-20 Standard The most common Ethereum token standard is ERC-20. This set of guidelines allows developers…
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Why token standards are essential to adoption
Ethereum provides a computational engine for any idea that can be reduced to mathematics, leaving developers free to be imaginative in building dApps. Ethereum doesn’t enforce rules on those that use it, like Google’s Playstore or Apple’s App Store, and includes its currency, Ether, used as a medium of exchange within a dApp and a…