CDP stands for Collateralized Debt Position. In laymen’s terms, it’s when you put up assets as collateral in order to take out a loan or debt against said collateral. When you’re talking about Ethereum, a CDP specifically refers to a position or loan taken out in DAI through the MakerDAO smart contract which is backed …
tBTC is an ERC-20 token that’s trustlessly backed by and redeemable for Bitcoin (BTC). In other words, it’s a way for users to deposit their Bitcoin and mint Bitcoin tokens on Ethereum without a middleman or KYC. How does tBTC work? If you’re familiar with MakerDAO and how DAI is created, you might recognize some …
Lately, we’ve been receiving a lot of feedback from those of you in the community about new features and metrics you’d like to see included on DeFi Pulse. We want to let you know that we appreciate this feedback as well as your support of DeFi Pulse. And needless to say, we’re excited to watch …
In the past, users had to rely on centralized exchanges to trade their cryptocurrency. But, things have come a long way since then and you have other options. And, nowadays decentralized exchanges provide users with a competitive alternative. Not sure what decentralized exchanges are? It’s okay if you’re unfamilar with what decentralized exchanges are. Here’s …
Decentralized finance, or DeFi for short, is the nickname of financial smart contracts, decentralized applications (DApps), and protocols built on Ethereum. Financial DApps are the hottest use case of Ethereum at the given moment. One of the most unique parts of decentralized finance that the smart contracts are publicly accessible and highly interoperable. Similar to …
You’re probably familiar with traditional cryptocurrency exchanges like Coinbase or Binance. And, you probably know that these exchanges are run by central authorities which hold your funds in custody while you trade. This puts your money out of your control and at risk of theft. But did you know that many decentralized exchanges or DEXs …
A coin burn is when you take cryptocurrency, coins, or tokens and destroy them. Many coins or tokens have built-in mechanisms which periodically burn a portion of their existing supply. The idea is pretty simple. When you burn a coin, you lower the total supply of the coins in circulation. And according to the law of …
A decentralized exchange, or DEX for short, is like a stock exchange run by a smart contract on the Ethereum blockchain. Although both allow you to trade assets, a decentralized exchange trades cryptocurrency only and so does not require a centralized authority to operate. Instead, a decentralized exchange uses a smart contract to enforce the …
Thanks to the support of the community DeFi Pulse has quickly become a resource people turn to when discussing decentralized finance. Up until now, DeFi Pulse only ranks on-chain DeFi projects. But we know that the DeFi community is larger than what’s listed on the leaderboard. And some aspects of our community aren’t as easily …
cDai is like an instant Dai savings account Lending is one of the most popular ways in DeFi to earn interest. But did you know it just got easier than ever? As you may know, Compound, a money market protocol, allows you to earn a variable interest rate in return for supplying tokens that other users …
