In a previous article, we introduced one of the major innovations in DeFi : Decentralized Exchange. This type of exchange allows anyone to swap one token against another without any intermediary but through smart contracts. Two main components are necessary: An Automatic Market Maker (AMM) determining the exchange rate between…

1. Introduction In decentralized lending protocols, collateral assets are used to ensure that borrowers will pay back their loans. For that reason, the collateral value has to be monitored to ensure that it remains sufficiently high in comparison with the loan value. If, at some point in time, this condition does not…

1. Introduction In a decentralized exchange (DEX) such as Uniswap V2, liquidity providers deposit assets into liquidity pools to facilitate trades through automated market makers (AMMs) and receive liquidity pool tokens (LP tokens) in return. …

Most crypto holders just sit on their holdings waiting for price increase while they could potentially receive additional passive income. However, the majority of DeFi protocols proposing yield (or APY) come with risks and complexity that may not suit the average investor profile. …