How Yield Farming Works With MoonSwap

DeFi has shown people around the world that crypto investing can yield good returns. Here is how yield farming works on Monnswap.

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MoonSwap is an amazing DeFi project comprises an AMM dex that offers holders and traders significant profit-making opportunities. It runs on Ethereum layer 2 and comes with benefits, like zero gas fee and fast transaction processing.

Since becoming an innovative, workable product in 2021, MoonSwap is predicated on an execution timeframe of 20 seconds or less, thanks to the implementation of Conflux’s Tree Graph (TG) technology.

With a one-click process, you can convert your Ethereum tokens to MoonSwap tokens, also known as $MOON. Joining MoonSwap protocol comes with significant incentives. As such, liquid providers consider this AMM DEX their haven to make profits, including MoonSwap tokens, also known as ERC20 assets.

Read Also: How MoonSwap Works

Profiting Opportunities Available on MoonSwap

Holders can avail themselves of MoonSwap profit opportunities via different means. They can become MoonSwap LPs (PLPs) and earn MoonSwap tokens, transaction fees, highly appreciating FC (offered by the Conflux community), and tokens from MoonSwap’s airdrop partners. As the community expands, more incentives will come into the scene.

Farming with MoonSwap

MoonSwap can yield huge returns annually. However, you need to be a pool provider. But you cannot be if you don’t have a Web3 wallet. Hence, you can create an account with any of the following:

This wallet is what you use to move your Crypto token to the Conflux blockchain. You can get a ConfluxPortal extension. Using this extension, select the address located at the top-right area of the homepage. This will redirect you to the exchange page, where you can move your tokens. for example from ETH to cETH.

When conduction transactions on the blockchain, you do not have to pay any fee. The network takes care of that. Click approve to grant authorization on the transaction.

Becoming a Liquidity Provider (LP)

Adding liquidity to the pool is a simple process. To get the most profit, you have to be the first person to join the pool. As such, when other members conduct transactions in the pool, you earn significant profits.

However, joining the pool requires two equivalents of the tokens needed. For example, you need an equivalent of 1 ETH in USDT, which is around 2473.

Once done, you can confirm the transaction to move part of your asset to the pool. By doing so, you become an LP. Your fee income can be pegged at 0.3%. Joining the pool as the first LP gives you access to 100% of the pool’s gains. But there are risks as well, which you should take note of.

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Farming in the Pool

Available pools fall under Conflux, Ethereum, and the basic farm where the $MOON balance is displayed. If you have $MOON-Ethereum pair in the LP pool, you can earn tokens (PLP).

Claim your accumulating $MOON token at a zero-gas fee. Connect your Ethereum wallet to the MoonSwap to harvest your accumulated tokens automatically. Understand that farming on Conflux is easier and cheaper than on Ethereum.

How to Buy $MOON

To purchase your MoonSwap tokens, you should visit the Ethereum mainnet. Once on the platform, enter the activated token address (contract):

Some untrusted sources provide fake tokens. As such, be mindful of your transactions. It is important to have enough ETH balance in your wallet. If you do not have a wallet, create one. You will use your Ethereum wallet to make payments and also get the MoonSwap. Visit a reliable exchange, like Uniswap or Binance to get MoonSwap.

How to Trade Your Coins

You need a reliable crypto exchange to sell your coins. Some exchanges have huge trading volumes and active users that conduct transactions daily. Look for those with MoonSwap listings and register. Being on such platforms provides you with the opportunity to conduct transactions anytime. They also come with excellent trading opportunities.

Farming and investing in pools come with high risk. There may be financial losses, especially if the token is of a losing price over time. Also, there is a 0.3% trading fee. 0.25% of it goes to the liquid provider, which 0.5% is used to purchase $MOON from MoonSwap. As such, the $MOON can be destroyed.

Flowing from the above, you have to understand the risks before investing – all investments come with specific levels of risks. But above these factors, there are high potential rewards as well.

The Bottom Line

As a recap for individuals who want to farm on MoonSwap, visit the mining page and select the mining pool you want (if you are not creating one). Hold the PLP token that corresponds to the pool. Mine and stake the MLP token.

Your mining process has begun. You can “stake” and “unstake” your accumulated tokens and harvest them to your Conflux wallet. Once, you have understood the risk, reward, and process, you can decide if this DeFi is worth embarking on.

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How NFTs and Cryptocurrencies Are Making Inroads Globally

NFTs are making their mark around the globe alongside cryptocurrencies in a near-equal manner, traversing hitherto unexplored heights.

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NFT stands for non-fungible token. It’s generally built using the same kind of programming as cryptocurrency, like Bitcoin or Ethereum, but that’s where the similarity ends.

Physical money and cryptocurrencies are “fungible,” meaning they can be traded or exchanged for one another. They’re also equal in value—one dollar is always worth another dollar; one Bitcoin is always equal to another Bitcoin. Crypto’s fungibility makes it a trusted means of conducting transactions on the blockchain.

NFTs are different. Each has a digital signature that makes it impossible for NFTs to be exchanged for or equal to one another (hence, non-fungible). One NBA Top Shot clip, for example, is not equal to what is the norm; simply because they’re both NFTs. (One NBA Top Shot clip isn’t even necessarily equal to another NBA Top Shot clip, for that matter.)

To understand how creative works get tied to NFTs, one has to understand exactly how an NFT functions. NFTs are unique crypto tokens that are managed on a blockchain.

The blockchain acts as the decentralized ledger that tracks the ownership and transaction history of each NFT, which is coded to have a unique ID and other metadata that no other token can replicate. This process gives NFTs the attributes of originality and scarcity that makes them so attractive when coupled with digital media.

NFTs are coded with software code (called smart contracts) that governs aspects like verifying the ownership and managing the transferability of the NFTs. Like any software application, NFTs can be further programmed beyond the basics of ownership and transferability to also include a variety of other applications and functionality, including those linking the NFT to some other digital asset.

Read Also: How NFTs Fared in 2020 And All The Insights You Need To Know

For example, a smart contract could be written to automatically allocate a portion of the amounts paid for any subsequent sale of the NFT back to the original owner, thus giving the owner an ability to realize the benefits of the secondary marketplace. (For more information, see the proposed EIP-2981 standard for handling royalty payments for ERC-721 tokens.)

Thus, when someone makes (or “mints”) an NFT, they are writing the underlying smart contract code that governs the NFT’s qualities, which are added to the relevant blockchain where the NFT is managed.

Many blockchains can be used to manage NFTs, including Ethereum (with its long established ERC-721 and ERC-1155 smart contract standards), Flowchain, and Wax, all of which use a similar process. Notably, certain NFT marketplaces only function with certain blockchains, and so the choice of blockchain to use for an NFT can have real commercial implications for the seller

Creating an NFT

NFTs exist on a blockchain, which is a distributed public ledger that records transactions. You’re probably most familiar with blockchain as the underlying process that makes cryptocurrencies possible.

An NFT is created, or “minted” from digital objects that represent both tangible and intangible items, including:

  • Art
  • GIFs
  • Videos and sports highlights
  • Collectibles
  • Virtual avatars and video game skins
  • Designer sneakers
  • Music

Even tweets count. Twitter co-founder Jack Dorsey sold his first ever tweet as an NFT for more than $2.9 million.

Essentially, NFTs are like physical collector’s items, only digital. So instead of getting an actual oil painting to hang on the wall, the buyer gets a digital file instead.

They also get exclusive ownership rights. That’s right: NFTs can have only one owner at a time. NFTs’ unique data makes it easy to verify their ownership and transfer tokens between owners. The owner or creator can also store specific information inside them. For instance, artists can sign their artwork by including their signature in an NFT’s metadata.

Read: Cryptocurrencies, Ethereum and The Future

Putting NFTs To Work

Blockchain technology and NFTs afford artists and content creators a unique opportunity to monetize their wares. For example, artists no longer have to rely on galleries or auction houses to sell their art. Instead, the artist can sell it directly to the consumer as an NFT, which also lets them keep more of the profits.

In addition, artists can program in royalties so they’ll receive a percentage of sales whenever their art is sold to a new owner. This is an attractive feature as artists generally do not receive future proceeds after their art is first sold.

Art isn’t the only way to make money with NFTs. Brands like Charmin and Taco Bell have auctioned off themed NFT art to raise funds for charity. Charmin dubbed its offering “NFTP” (non-fungible toilet paper), and Taco Bell’s NFT art sold out in minutes, with the highest bids coming in at 1.5 wrapped ether (WETH)—equal to $3,723.83 at time of writing.

An NBA Top Shot generated more than $500 million in sales as of late March. A single LeBron James highlight NFT fetched more than $200,000.

Even celebrities like Snoop Dogg and Lindsay Lohan are jumping on the NFT bandwagon, releasing unique memories, artwork and moments as securitized NFTs.

How to Buy NFTs

If you’re keen to start your own NFT collection, you’ll need to acquire some key items:

First, you’ll need to get a digital wallet that allows you to store NFTs and cryptocurrencies. You’ll likely need to purchase some cryptocurrency, like Ether, depending on what currencies your NFT provider accepts.

You can buy crypto using a credit card on platforms like Coinbase, Kraken, eToro and even PayPal and Robinhood now. You’ll then be able to move it from the exchange to your wallet of choice.

You’ll want to keep fees in mind as you research options. Most exchanges charge at least a percentage of your transaction when you buy crypto.

Popular NFT Marketplaces

Once you’ve got your wallet set up and funded, there’s no shortage of NFT sites to shop. Currently, the largest NFT marketplaces are:

OpenSea.io: This peer-to-peer platform bills itself a purveyor of “rare digital items and collectibles.” To get started, all you need to do is create an account to browse NFT collections. You can also sort pieces by sales volume to discover new artists.

Rarible: Similar to OpenSea, Rarible is a democratic, open marketplace that allows artists and creators to issue and sell NFTs. RARI tokens issued on the platform enable holders to weigh in on features like fees and community rules.

Foundation: Here, artists must receive “upvotes” or an invitation from fellow creators to post their art. The community’s exclusivity and cost of entry—artists must also purchase “gas” to mint NFTs—means it may boast higher-caliber artwork.

For instance, Nyan Cat creator Chris Torres sold the NFT on the Foundation platform. It may also mean higher prices — not necessarily a bad thing for artists and collectors seeking to capitalize, assuming the demand for NFTs remains at current levels, or even increases over time.

Although these platforms and others are host to thousands of NFT creators and collectors, be sure you do your research carefully before buying. Some artists have fallen victim to impersonators who have listed and sold their work without their permission.

Last Words

The verification processes for creators and NFT listings aren’t consistent across platforms — some are more stringent than others. OpenSea and Rarible, for example, do not require owner verification for NFT listings.

Buyer protections appear to be sparse at best, so when shopping for NFTs, it may be best to keep the old adage “caveat emptor” (let the buyer beware) in mind.

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How NFTs Fared in 2020 And All The Insights You Need To Know

NFTs offer a terrain that can be explored to make money. As crypto adoption deepens, new products like these are set to make a difference.

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2020 was quite the year, and not only in the social, political, or healthcare levels. Blockchain technology, cryptocurrencies, and other tokens positioned themselves over that time and seem now closer than ever to breaking into the mainstream.

Just one look at the price of Bitcoin, blockchain’s sweetheart, tells us enough about it: The six-months (and ongoing) bull market has surpassed Bitcoin’s previous highs, and the strong interest in it from economy giants hints we might be seeing a new status quo.

However, there’s more to blockchain than Bitcoin or cryptocurrencies, so while Bitcoin keeps going up and up it’s a good idea to take a step back and look at other uses of Blockchain that could well revolutionize our society. In this case, specifically, let’s look at Non-Fungible Tokens (NFT) and how they fared in 2020.

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Crypto Stamp

Coming from the Austrian Post, Crypto Stamp is an attempt to turn stamps into digital assets in the blockchain, allowing them to be used, traded, and collected as many people do with physical stamps.

While this might seem a silly endeavor, it follows closely on the CryptoKitties craze, where digital collectibles can indeed become sought after and greatly increase in value just by existing.

Thanks to the Blockchain, Crypto Stamp allows stamp collectors to safely trade for them knowing they’re legit (since there’s no way to create “fake” ones,) and giving them the ability to know how many owners any given stamp has had, and how it has been traded or used before.

The Sandbox / Decentraland

A gaming-based NFT (and there are a lot of these,) The Sandbox aims to create a virtual world where the players themselves can own and trade virtual properties and items. Each of these is coined into a non-fungible token to allow for easy trading, creating an in-game economy where every item is truly unique.

More importantly, The Sandbox also allows users to create LAND tokens, which are self-contained gaming experiences. This turns the blockchain into an entertainment center where every LAND token you buy is a wholly new experience, and where content creators can craft unique, one-off experiences tailored for different users.

Terra Virtua

Another collectible-based blockchain platform, Terra Virtua has quickly attracted lots of attention thanks not only to its goals, but also the experience of its creators and the large amount of media companies that seem to be onboard with the project.

Terra Virtua offers its users the chance to trade and own digital collectibles, in much the same way Crypto Stamp above does – although, in Terra Virtua’s case, the collectibles are much more varied than just stamps.

Terra Virtua’s aims is to create a virtual playground where people can own not only decorative digital items, but also entertainment products such as films or music that can be freely used while inside the virtual world.

Moreover, the project aims to include AR and Virtual Reality-based components, allowing for an immersive experience where users, and their friends, can explore each other’s galleries and collections, creating a complex digital environment for entertainment and socialization.

As mentioned above, several media companies are onboard with the project. Among the larger ones are Paramount and Legendary Pictures, whose properties and products are expected to arrive at the platform.

Aavegotchi

Yet another gaming-based NFT (There are tons of these, as gaming and media seem to be the most common uses for NFTs for now,) Aavegotchi is a complex, Tamagotchi-like experience in the sandbox.

In Aavegotchi, each creature is summoned from a portal and is unique. However, unlike other NFTs, Aavegotchis have an intrinsic value themselves, since in order to summon them certain amounts of cryptocurrency must be paid.

On top of each creature being generated as a unique item, users can further personalize them by equipping them with items that will change their stats and looks, allowing every owner of an aavegotchi to have a unique creature (or many) to fit their tastes.

Another somewhat revolutionary component of Aavegotchi is the rarity aspect of their NFTs. Each aavegotchi is created with a rarity, as is common in videogames, which can be common, uncommon, rare, epic, and so on. However, unlike in current videogames, in the Aavegotchi world rarity is permanently changing and getting readjusted based on the market and current existence.

In a unique way, a rare or ultra-rare Aavegotchi could become less rare over time, based on both the creatures the RNG creates and how other users choose to develop and equip their own.

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Warp Finance

A DeFi-based project, Warp Finance is one of the non-entertainment related uses of NFTs that could well take flight soon.

Most of Warp Finance’s inner workings aren’t related to non-fungible tokens, so it’s easy to dismiss them at first. Close to the goals of DeFi, Warp Finance’s main approach is to offer loans to those who need them while allowing others to provide liquidity and obtain collateral payments in the form of a portion of the blockchain transaction fees. Call it a high-level staking system, if you will.

However, Warp Finance is also entering the world of NFTs, at first tentatively with limited, collector edition Warp NFTs to be assigned to early users who take part in its “Team Explorer Campaign.”

This campaign, true to the goals of DeFi and Warp Finance, lets users form teams and pool together their liquidity offerings to the blockchain. Teams with larger liquidity offers get rarer NFTs, while teams with lower ones will get more common rewards.

The important part of these NFTs, however, is this: They aren’t just virtual assets to keep as part of a collection. Instead, these Warp NFTs are expected to allow their owners to boost their earnings in the platform, letting them reap higher rewards for lower investments as a thank you for being early adopters and believers in the platform.

Warp Finance is currently one of the most high-profile DeFi-based projects, and shall its approach not only towards NFTs, but towards blockchain banking and funding be successful, we’ll see many more projects of this kind pop up in 2021 and beyond.

Conclusion

In a clear representation of what the crypto scene offers, NFTs have shown that the market can be deepened with new products and innovations. Better adoption of blockchain and crypto beckons in the days ahead.

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