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Chainlink (LINK)Ĭhainlink is a network that provides data inputs and outputs for a variety of blockchains, allowing smart contracts to take in reliable information from external real-world sources, and helping smart contracts securely communicate data to non-blockchain platforms. But you do run the risk of possible liquidation and black swan events.
#Largest defi coins plus
To get back your ETH, you need to return the DAI you borrowed, plus a small amount of interest.ĭAI offers low minimum deposit amounts, and because DAI isn’t backed by real money, you don’t need to complete KYC to acquire it. Once deposited, you can then borrow up to 66% of the USD value of your deposit in DAI tokens. Instead, you obtain DAI by depositing Ethereum (ETH) into a collateralized debt position (CDP) smart contract. Unlike other stablecoins like Tether (USDT) and USD Coin (USDC), DAI isn’t directly collateralized by US dollars held in a bank account. As the term implies, this means the value of DAI is designed to remain stable at 1 US dollar (USD) per coin - resisting the volatility that most other digital assets are known to experience. Dai (DAI)ĭAI is a type of digital asset known as a stablecoin. At its peak, this airdrop was worth over $3,000, and more than 300,000 wallets qualified, making it one of the most valuable airdrops of all time. If you used Uniswap any time before September 1, 2020, then you may have noticed that you received an unexpected 400 Uniswap (UNI) token airdrop to your Ethereum wallet. The first governance proposal, which sought to reduce the governance proposal and quorum thresholds was recently defeated despite an overwhelming majority of votes in support of the change - ironically, due to failing to meet the minimum quorum threshold. By holding UNI tokens, individuals can help make changes to how the Uniswap protocol operates by creating and voting on governance proposals. Uniswap (UNI) is the native governance token of the Uniswap decentralized exchange. This ERC20 tokenized BTC can be transferred like a regular Ethereum token, and can be used to interact with various Ethereum DeFi protocols and decentralized applications (DApps), or it can be converted back into the equivalent amount of BTC through a simple unwrapping process.Īs of writing, over 107,000 BTC worth $1.3 billion is currently wrapped as WBTC, making Wrapped Bitcoin the third-largest DeFi protocol in current operation 2. These merchants will then work with authorized custodians to issue an identical amount of WBTC as an ERC20 token, and transfer it to you. To get Wrapped Bitcoin, you need to deposit native Bitcoin (BTC) to a wallet controlled by one of several WBTC merchants.
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Wrapped Bitcoin (WBTC)Ĭreated by BitGo in 2018, Wrapped Bitcoin (WBTC) is a simple ERC20 token that represents Bitcoin on the Ethereum blockchain. To help make things clear, we take a look at five of the most popular DeFi assets today and examine what these tokens can do for you, and how they fit into the current DeFi landscape. In the last year, the number and variety of digital assets operating in the decentralized finance (DeFi) niche has grown considerably, as ever more creative uses for blockchain technology and DeFi are unraveled.Īs a result, there are now hundreds of digital assets with a primarily DeFi use case, which can cause a great deal of confusion for those looking to wrap their head around the space, since many of these tokens have overlapping functions, while some have close to no real utility at all.