Cryptocurrencies, Ethereum and The Future

The use of Ethereum in the crypto chain has been monumental, From the initial rise of ICOs to the growth of DeFi, it has become a leading bulwark. Here is the pathway to the future.

Cryptocurrencies took the world by storm in 2017 when Bitcoin reached an ATH that tethered at the $20,000 mark. Ever since, the market has posted some amazing ROI that has left other asset classes scrambling for cover.

With the initial mad rush to take a cut of the bitcoin pie simmering down by nid-2018, investors did begin to explore other crypto with potentials, While ETH was also affected by the downturn that hit the crypto market, other initiatives led to the development of DeFi markets, which largely revolved around Ethereum at the time.

In a factual assessment, with its smart contract features, Ethereum largely led the way for real world assets to be tokenized although that glaring advantage has taken a hit of late. The likes of Cardano, Tron, Stellar, and Ripple have introduced smart contract features that are giving Ethereum platform a good run for the DeFi money.

If you want to thrive in the modern market, you should familiarize yourself with the features of Ethereum that have helped positioned it a leading cryptocurrency and a global digital market frontline asset.

Also Read How Chainlink Connects Smart Contracts To The Real World And The Opportunities Therein

About Ethereum

Ethereum can be referred to as a modern technology covering vast online activities and trading. Ethereum is an online platform that aids payments and transactions globally. It provides an avenue for everyone to work online and earn money.

Ethereum has made transactions globally easy as it covers and accessible globally. All transactions and payments will be made online with ease and no third-party issue. All that is needed is to register on the platform, secure your wallet, fund it and transact with precautions. Ethereum service is also available 24/7 customer support service if you have any issues. 

Perks of Ethereum

This crypto provides an unbiased and equal opportunity for everyone. Being on the platform and obeying rules makes you entitled to benefits and profits concerning trades and activity. 

It serves as a modern avenue for online development and financial breakthrough. Ethereum provides a transparent, open-source service that allows you to monitor your activities and use strategies or codes used by pros on the platform. 

It makes investments much more effortless. Ethereum serves as your bank, your secured wallet, which can be accessed and used for any transaction anytime, anyway. 

It is available in any quantity. You can purchase Ethereum worth any value of money you have for small investors or beginners.  

Recommended: With Companies Investing In Bitcoin, Here Are The Likely Areas of Impact You Need To Know

A Guide on how to get started on the Ethereum platform. 

After registering on the platform, here are the basic things you need to do. 

Select a wallet. This wallet connects you to trading on the platform and keeps records of your transactions. 

Fund your wallet. The currency of Ethereum is ETH, as the US currency is Dollars (USD $). This currency will be exchanged for any transaction with any currency on the platform. This is like a balance to avoid confusion and currency preference. 

Start trading on the platform. This is essential to make profits and key to your financial breakthrough. 

Frequently Asked Questions About Ethereum and its Future

Is it feasible for Ethereum to reach $2000? 

Generally, every cryptocurrency is not fixed; hence rise and fall in their price. Ethereum has once been valued at $1400, though fallen now but very much feasible to exceed the $2000 worth.

Is Ethereum better than Bitcoin? 

With the recent rise in Ethereum value, it is safe to choose Ethereum over Bitcoin in terms of its usability, beyond just as a crypto. Its blockchain value is growing.

Ethereum is the future, and this can be seen from the expanding use it has seen in the DeFi game.

Conclusion

Ethereum is a leading crypto with clearly marketable credentials. With steps taken to re-imagine the blockchain and make it nimble and responsive to marketplace realities, there is no doubt that it is not giving up its market lead so easily.

Recommended: The Attraction of Polkadot Blockchain And Here Is How It Is Making A Difference

How JustSwap Works

JustSwap is one of the leading lights of the DeFi boom with billions of dollars in completed trades. Here is how the platform works.

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Justswap: How to use?

One of the main crypto trends of 2020 was decentralized exchanges: Blockchain-based systems that allow people to exchange one token for another in a quick and easy manner, where their reliance on the blockchain itself works as an extra layer of security.

These exchanges are particular because, beyond their main use of allowing people to exchange tokens, they also allow users who are holding cryptocurrencies to use them to provide liquidity, earning a portion of the exchange’s earnings in exchange. This approach has made them popular all over, giving us several stable systems that may well replace the large crypto exchanges in the not too distant future.

Justswap is one of the first such exchanges based in the TRON blockchain. Launched after the overwhelming success of Uniswap, it allows users of TRON to quickly exchange their tokens for one another, including trading for TRC20-based tethered tokens representing the most sought after cryptocurrencies, such as Bitcoin and Ethereum, along with pure TRON-based tokens.

How does it work?

From an end-user point of view, few systems are simpler than Justswap. While there’s a lot going on under the hood, people using it as an exchange should be content with knowing Justwap allows them to exchange TRC20 tokens for one another in a quick, simple manner.

The process can be described as simply filling a form. Yes, it’s simple, and yes, it’s easy. That’s the whole deal with it.

However, there are naturally a few more steps than just that – but said steps are small and simple enough that, after learning of them, you will too consider the process extremely simple.

Read Also:The Big Breakout of Uniswap, Justswap, Trustswap, and The Incredible ROI As DeFi Unfolds

Steps to exchange your tokens using Justswap

Connect to a wallet

Because you can’t use DeFi systems without having a crypto wallet. In Justswap’s case, a TronLink wallet is required, along with the TronLink Chrome extension. You must first log into the wallet from the Chrome extension, and then confirm the password on the Justswap website.

You’ll know you’ve successfully connected to your TronLink wallet because the system will then show you your wallet address along with your crypto balance.

If you’re using the TronLink app on a mobile phone, you should be automatically connected to your current wallet.

Select the token you wish to exchange

On the main page, select the token you wish to exchange on the “From” dropdown. You’ll be shown a list of eligible tokens along with your balance for each of them.

Once you’ve selected the token, if this is your first time trading that token you’ll need to approve the token for use on JustSwap. This is a security measure aimed at making sure you don’t accidentally trade the wrong token, along with authenticating the wallet a second time. In this case, no password should be necessary – just click “Confirm” on the TronLink popup that will appear.

Perform the trade

Now, fully fill the exchange form. You’ll have to specify a token to trade from, a token to trade to, and the amount of crypto you wish to either exchange from or exchange to. Only one of these fields is required, as the other will be automatically filled according to the current going rate.

Once the exchange form is filled, click on the “Swap” button. You’ll be taken to a confirmation screen detailing the exchange you’re about to perform. Click on “Confirm Swap.”

You’ll now be asked to confirm the transaction on your wallet. Once again, since you’re already logged in, you just have to click “Accept.” You can also enable automatic signature so any further transactions of this type during a set amount of time are automatically accepted.

Once you’ve accepted the transaction, your exchange should happen automatically.

Steps to add liquidity to Justswap

If instead of exchanging tokens you wish to add liquidity and potentially earn some crypto, the steps are only a tiny bit more complex.

Instead of using the “Swap” option, click on the “Pool” option once you’ve logged into your wallet. Then, click the “Add liquidity” button.

You’ll be shown a form asking you for two tokens – the specific trading pair you wish to add liquidity to. One of them has to be TRX by design. Click on “Create pool pair” to add the trading pair to your account. You’ll be asked to confirm this pair with your wallet.

On the “Add Liquidity” form you’ll now see your selected trading pair listed as an option. Click on it, and a form to supply liquidity will appear. You’ll need to add liquidity in both tokens of the trading pair. If the trading pair doesn’t already exist in the system, you’ll be able to choose an amount for both. If it already does, you’ll only have to fill one of the tokens – the amount you’ll need of the other one will be automatically calculated.

Once you’ve filled the form, click on the “Supply” button. You’ll be asked to confirm your transaction with TronLink. After you’ve done so, you’ll have successfully added liquidity to Justswap.

You Must Read: How Leverage Trading Works When You Use The Binance Cryptocurrency Exchange

Steps to remove liquidity to Justswap

To remove liquidity, just select the trading pair you’ve added liquidity to and click on “Remove.” You’ll be shown a form letting you know what your current position in the pool is, along with a slider letting you choose the percentage of liquidity you want to remove.

Select the percentage you want, and the amounts in both tokens for the trading pair will be automatically filled. Then, click on “remove”, then confirm the transaction. You’ll once more be asked to confirm the transaction with TronLink. After you’ve done so, your tokens will be removed and returned to your wallet.

Conclusion

We are in the age of decentralized finance, and with the warm embrace that crypto is getting around the world, there is no better time to learn about using DeFi.

Recommended: he Rise and Rise of DeFi, And All You Need To Know About The 3 Leading Yield Farming Global Platforms

Gb Adolph Obasogie is a Partner at Harrison Global Capital. Follow him on Twitter @lyfbeat

How You Can Make Money On The 3 Leading Global DeFi Pools

DeFi liquidity pools are posting impressive ROI that will make any investor to salivate. Here are the leading pools to consider.

The 3-best performing DeFi Pools globally right now

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Before now, buyers of cryptocurrencies and stocks always had to wait for sellers to fix prices (order book business model), and until a consensus is reached, trading cannot proceed. Currently, DeFi pools through smart contracts and the Dapp ecosystem are challenging the inadequacies of traditional liquidity models and ripping out trade manipulations and market inconsistencies.

Consequently, exchanges could now operate smoothly independent of takers and bidders through a pool-based liquidity system. Liquidity is constantly maintained by pools and unprecedented swing in prices are reduced. The total value locked on all DeFi pools stands at about $10.9 billion with Uniswaps’s dominance at over 24%.

Hence, if you’re considering liquid market trading, here are the 3-best performing DeFi pools at the moment. However, this list is by no means exhaustive, hence, the DeFi pools covered in this post.

Must-Read: 2020 Has Been The Year of DeFi. Here’s How It Has Given Cryptocurrencies A New Lease of Life

Aave Liquidity Pool

During the year, Aave unveiled its new protocol – a shift from a blockchain-based P2P lending protocol to a pool-based system.  What does this mean?

Simply put, the Aave liquidity pool system is now a smart contract-based open financial market that allows users to either supply or borrow digital assets to initiate an autonomous, shared and open liquidity market. Lenders in the pool are incentivized through any or a combination of trading fees, platform tokens and variable interest rates.

Currently, the Aave protocol holds about $1.14 billion in total valve locked (TVL) in its pools, and it has come into view as one of the best performing DeFi lending pools globally. Every single asset available in the Aave pool has a distinct Loan-to-Value parameter that determines the collateral ratio.

This platform offers a rate switching protocol that enables borrowers to switch between variable and stable interest rates – something that comes in handy in a volatile DeFi market. Also, there’s the flash loans protocol that allows users to take unsecured without collateral. The undercollateralized loans are solely reliant on repayment timelines, and if timely repayments are not made, Aave reserves the ability to reverse the transactions.

Curve Pool on Yearn Finance

Curve is a decentralized Ethereum-based liquidity pool that offers low slippage and non-volatile stablecoin trading. The platform supports the swapping and trading of a variety of assets and stablecoins from sBTC, PAX, Y, Compound, sUSD, Ren and BUSD pools.

Curve does not have native tokens but is rumoured to be planning towards launching a CRV token. At the time of writing, Curve holds about $1.05 billion in total valve locked (TVL), and it is regarded as one of the best performing DeFi lending pools globally.

yEarn is an automated liquidity aggregator that offers yield farming strategy via several liquidity pools. The yEarn protocol moves liquidity between the best performing DeFi lending pools to offer the best returns to lenders.

Read Also: As The Crypto Spring Becomes Evident,Here Are The Top 3 DeFi Leaders In H2 2020

yEarn created Curve’s Y pool, a DeFi lending pool with a market cap of over $423 million, to maximize APY for liquidity providers. Curve pool on Yearn Finance consists of top-rated stablecoins such as DAI, USDC, USDT and TUSD. With yEarn, you can intuitively take advantage of several yield farming openings.

Simply said, when liquidity providers deposits DAI, they get yDAI and can go on to supply it to Curve. After supplying yDAI to Curve, users earn trading fees together with yield rewards.

WETH-AMPL  On Uniswap

Top of the ranking is Uniswap!

Uniswap is a completely decentralized Ethereum-based protocol that allows users to exchange Ethereum for any ERC20 token via liquidity pools, rather than order books. Uniswap does have native tokens but it also utilizes an Ethereum-based pool of tokens, basically liquidity pools, powered by smart contracts. Liquidity pairs on the Uniswap pool have a distinct ERC20 token.

Anyone can swap between any ERC20 token and Ethereum or instead, earn fees for supplying any volume of liquidity. At the moment, the total value locked on Uniswap is about $2.6 billion, and it’s widely regarded as the highest performing DeFi pool globally.

With Uniswap, users can remove or add liquidity, and also generate exchange pairs for any token in an entirely new pool, whenever they want. In other words, the Uniswap liquidity pool is completely open, and the market creator pegs the exchange rate. This rate shifts during the trading process due to the market maker mechanism adopted by Uniswap, thereby creating arbitrage opportunities and favouring more trades.

Just like the aforementioned liquidity pools, users deposit cryptos and they get a distinct Uniswap token in return. For example, when user deposit DAI, they get an equivalent Uniswap token. Uniswap comprises of several liquidity pools such as WETH-AMPL, LGO-WETH, yDAI, yTUSD, yUSDC, AD, yUSDT, and lots more.

Last Words

DeFi is in the in-thing right now on the scrypto map around the world. It will pay you to explore it further and join others as they make money.

Read Also: How Yield Farming Works On Uniswap

How Yield Farming Works On Uniswap

Providing your surplus cash for a fee in interest is a practice of old-time banking. Now, with crypto, you can get paid for depositing your tokens . This is how yield farming works.

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Yield Farming Tips On Uniswap

The problem with crypto trading, and how many steps and fees it can incur is one that many people have tried to tackle. Until recently, the Binance blockchain was the most successful solution on the market, since its use of pegged tokens allowed people to easily trade between select cryptocurrencies over and over without incurring huge blockchain fees.

For Ethereum and its plethora of tokens, however, there’s a new best service: Uniswap.

What is it?

Uniswap is a new, Ether-based, distributed currency exchange. Unlike centralized exchanges, that take customers’ buy and sell orders and offer prices based on them, Uniswap works without an order book, instead acting as a liquidity provider.

Your Must-Read: The Rise and Rise of DeFi, And All You Need To Know About The 3 Leading Yield Farming Global Platforms

How does it work?

Uniswap’s liquidity provider system works by allowing people who have tokens to “lend” them to the system to give it liquidity. Each time a customer buys a token from uniswap, they pay a small fee that is then distributed among all liquidity providers for that token – with larger providers obtaining a larger share.

In other words, Uniswap works in more or less the same way savings accounts in banks do. You can provide liquidity by handing in your crypto, and in return, you get a small amount of crypto, while your actual crypto might be used for other things (in this case, to sell to potential buyers.)

Unlike the practice with banks, Uniswap does have 100% liquidity, only not necessarily in the same tokens people have used to provide liquidity.

Prices in Uniswap are automatically calculated using a formula based on the current offer and demand. Sellers don’t get to decide how much to sell for, and buyers don’t get to place orders according to how much they want. They’re instead offered a price by the exchange.

How do I use it?

First things first: Uniswap is only compatible with Ethereum-based tokens using ETH and ERC-20. This means most tokens based in the Ethereum network will work, but exterior tokens can’t be traded unless there’s an equivalent, pegged token using ERC-20. This means, first of all, that Bitcoin can’t be traded on Uniswap, but Wrapped Bitcoin, which isan ERC token is traded.

As another important detail, Uniswap doesn’t allow for fiat exchanges. You can’t purchase tokens using USD, and you can’t sell tokens for USD. You can, however, use USD-tethered tokens in the Ethereum network.

Now onto how to use Uniswap: It depends on whether you plan to use it as a liquidity provider or as a buyer.

As a buyer

Buying from Uniswap is simple. Trades take place through the Uniswap website, and are done in much the same manner as other crypto exchanges: Search for your desired trading pair, look at price, click buy, proceed to make the payment, and then receive your crypto.

It’s exactly that simple, as long as uniswap has enough liquidity at the moment. If the system doesn’t have enough liquidity, then you need to wait until it does.

As a liquidity provider

Using the exchange as a liquidity provider is more complex.

The way Uniswap works, you don’t just provide liquidity in a single currency, but in a trading pair. This means you have to deposit an equal value of both currencies in the trading pair – for example if you’re providing liquidity in ETH/USDT, you’d have to deposit an amount of ETH… and an amount of USDT that is equal in value to that much ETH.

Once you make the deposit, the system will calculate how much of the current liquidity pool your deposit equals to, and keep it noted. It will also recalculate it each time anyone adds to or withdraws from it, making that percentage go higher or lower. You’ll be, at any time, allowed to withdraw that percentage from the pool.

The one small (but potentially large) drawback

Now here’s the thing – when you add to the pool, you do so in exchange for a small amount of money from fees. But there’s a drawback: the crypto you add to the pool will not appreciate in value as much as if you were HODLing it.

This is because currencies change in value often and said value changes are never uniform. So if you were to deposit, say, 1ETH and 100USDT (assuming an exchange rate of 1ETH=100USDT,) that value wouldn’t really hold for long. Perhaps by when you want to withdraw the value has tripled, and now 1ETH equals 300USDT.

This is a problem, because the system can’t give you the exact same number of tokens you gave it. Instead, the system will maintain the ETH/USDT pool, with both your deposit and that of others, balanced so there’s always an equivalent value of ETH and USDT in it. This means it will add and subtract both ETH and USDT to it to keep the balance.

This means that, if ETH tripled in price, you wouldn’t get to withdraw the 1ETH and 100USDT you put in (leading to a grand total of $400) but an amount somewhere in between. In this case, you’d own less than 1ETH, but more than 100USDT. The exact amount of each might vary depending on how the pool is handled, but you’ll always make a profit in this case – only a smaller one that if you had held onto your crypto.

The system works in both ways, however. If ETH were to lose value, the grand total of ETH+USDT you’d get to withdraw would be lower than what you put in, but larger than if you had held onto your crypto. In other words, both the risk and the reward are distributed between you and the exchange to ensure no value is lost.

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Is this worth it? Or is Uniswap stealing from me?

It greatly depends. In both cases above (where ETH goes down and where ETH goes up) you’d also have received an extra amount of money from transaction fees over the time you were a liquidity provider. In some cases, this amount could be enough to offset the opportunity lost if ETH appreciated, and it will be a nice extra if it deprecates.

Uniswap isn’t there to necessarily make you money, although it will pay you for providing liquidity. It isn’t a replacement for crypto investments, but a different way to obtain a ROI while at the same time providing a service.

To make it clear, Uniswap makes money from fees – and thus it isn’t “taking” your earnings. Instead, while working with fluctuating prices, the system does its best to maintain a balance between trading pairs. The theoretical loss you incur isn’t Uniswap taking your money, nor is it losing money. It’s just the result of a balancing act.

Conclusion

Uniswap is still a relatively new system, and surely over time it will improve. It’s quite likely that we’ll get to see more exchanges adopt the model as the days gp by. Binance has already launched its swapping pool using its Smartchain, and other providers will do so as well.

The model behind Uniswap is likely to replace many of our current-day exchanges. Whether it is worth it for you to hop in now or not, however, is entirely up to you.

Read Also: How To Make Money In A Crypto Bull Run And The Vital Signs You Must Know

The Big Breakout of Uniswap, Justswap, Trustswap, and The Incredible ROI As DeFi Unfolds

DeFi is unfolding across the globe, and it has shown that crypto and blockchain seems to be bottomless. What can you do with ROI for DeFi projects hitting the roof?

Many people are still trying to come to grips with how the DeFi world works. To the uninitiated, it is the borderless outcome of decentralization that is yielding fruits. Blockchain has brought a new frontier to the global finance landscape, and now, the centralized banking regulators across the globe are scrambling to keep up.

Justswap, Binance Smartchain, Uniswap and Anyswap, are just a few of the major players in the unfolding world of token swap and the unfolding world of DeFi.

Enter Uniswap

Uniswap emerged as the first real proof the cryptocurrencies and blockchain are bottomless. After an amazing three year run of Bitcoin and thee altcoins, 2020 opened a new vista for investors to see first-hand, another side of the crypto revolution. Leveraged trading is an area of crypto finance that reports ROI like DeFi, but it is centralized and far more volatile.

Decentralized finance exemplified by Uniswap makes it possible for investors to access liquidity or trade the same for value when they trade against a smart contract -driven pool of assets. When an investor adds individual assets to the Unipool, they are able to earn a share of profits generated. Payouts are made possible using ether or tokens.

In simple terms, it is akin to bringing your funds to a bank, and you earn an interest for the funds deposited. And in addition, a share of the bank’s dividends. However, the reverse is also true: if the market faces a downturn, the ratio of deposited tokens to the number of requests for liquidity will be tilted, making net earnings to plummet.

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In a scenario like this, the value of your pool deposits will also shrink as deposits outstrip requests within the pool. While such scenarios as above has occurred this year, they were short-lived spasms that soon gave way to positive earnings.

The Uniswap model is very much what obtains with other yield farming upstarts like Anyswap, Sushiswap and others. While there are bits of differences, they are all variants of the same thing. Liquidity pools might differ from one platform to another in terms of rates and charges. Essentially, it is important to say that there are no centralized order books like traditional exchanges.

What DeFi Platforms Trade In

Many DeFi platforms are based on the Ethereum protocol as a result of its ready-to-use smart contract functionality. Smart contracts automatically initiate and complete transactions between parties while accurately ensuring adherence to the terms of agreement.

In recent weeks, other cross platform DeFi projects have entered the fray. Tron ecosystem and the Binance Chain has also launched DeFi platforms that are resourced to seamlessly transact with Ethereum blockchain. Most tokens used are either ERC-20 based or are compliant with other recent ERCs like 223, 777 and 721.

Benefits of Decentralized Finance

What Defi has made possible for yield farmers can be itemized. There are several bright spots to the whole new world of DeFi.

Ease of transactions

Transaction ease stands out as a leading advantage here. No one has to commute or travel to a certain physical location to complete a transaction. With an internet service in place, you only need to navigate to the website, connect your ERC-20 or similar wallet, and start earning.

Seamless returns on investment

There are no bottlenecks to earning here. As the t fixed duration-pools mature, payouts are made to investors.  These payouts go directly to your wallet and whether it is midnight or noon day, you can access your wallet and swap for fiat or use the tokens as you wish.

You can also decide to remove your wallets from the pool and exit with no delays.  

Bureaucracy is eliminated

One of the leading features of the modern day is an increasing intolerance to bureaucracies. DeFi does this so well that you do not have to bother about moving from a table to the other to complete forms or authorization. Smart contracts have made life easier and dismantled bottlenecks on the pathway of productivity.

Must-Read : As The Crypto Spring Becomes Evident,Here Are The Top 3 DeFi Leaders In H2 2020

The Easier Path to Launch Newer Tokens

With DeFi, newer tokens have a short cut to fame and acceptance. For example, YFI made its mark in 2020 not as a traditional crypto like BTC, but rather as a DeFi creation. On YFI platform, the token is used to remunerate investors on the platform. Its initial issuance was done to fund the platform sustenance and governance.

Other projects like Sun crypto was created also to remunerate users of the new Tron DeFi platform which will also run like Uniswap. Binance Chain has launched its service, and this will also incentivize users with its native BNB.

Last Words

As long as there is credibility and clear governance structures, yield farming and related projects open a new frontier for investors around the globe. It is also good to note that in the world of investment, you must never put in more than what you cannot afford to lose.

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