8 “MUST KNOW” for a Beginner in DeFi ❗️
A MEGA🧵on How To Do Your Own Research.
A MEGA🧵on How To Do Your Own Research.
I’ll be outlining the MUST KNOWs then I’ll break each outline down.
This is going to be one of the most important threads you’ll ever read.
Let dive 🏊🏼♀️❗️
This is going to be one of the most important threads you’ll ever read.
Let dive 🏊🏼♀️❗️
• How to make a proper DEFI research
• How to Stake
• How to farm
• How to differentiate a DEX from a CEX
• How to interact with a DEX
• How to slip the slippage
• How to use DeFi Tools for research
• How to know what to invest in at the right time
• How to Stake
• How to farm
• How to differentiate a DEX from a CEX
• How to interact with a DEX
• How to slip the slippage
• How to use DeFi Tools for research
• How to know what to invest in at the right time
Before we get to the alpha ahead
Make sure you following @Tianne_E for your DeFi education & premium alpha.
Done? Good!
Let’s dive in⤵️🤝
Make sure you following @Tianne_E for your DeFi education & premium alpha.
Done? Good!
Let’s dive in⤵️🤝
1/ HOW TO MAKE A PROPER DEFI RESEARCH
The utility of the token
The tokenomics
The Roadmap
The community
The Partners and venture capitalists
The utility of the token
The tokenomics
The Roadmap
The community
The Partners and venture capitalists
1.1 THE UTILITY
This is closely linked with the type of protocol it’s under
@anchor_protocol provides high yields on stablecoins at 19.5% APY
@SynapseProtocol provides interoperability between different blockchains. They recently became a bridge for $UST
Utility = protocol use
This is closely linked with the type of protocol it’s under
@anchor_protocol provides high yields on stablecoins at 19.5% APY
@SynapseProtocol provides interoperability between different blockchains. They recently became a bridge for $UST
Utility = protocol use
1.2/ THE TOKENOMICS
This involves the economics of the token.
The utility of the token. How the protocol gets it’s money. When can the team members sell their tokens. How initial tokens were distributed.
These can be found in the whitepaper of a token.
This involves the economics of the token.
The utility of the token. How the protocol gets it’s money. When can the team members sell their tokens. How initial tokens were distributed.
These can be found in the whitepaper of a token.
1.3/ THE ROADMAP
This involves a detailed plan the token has laid out for itself to accomplish. Incoming news that will cause an increase in price for the token. A better way to earn and interact with other ecosystems and exchanges.
This involves a detailed plan the token has laid out for itself to accomplish. Incoming news that will cause an increase in price for the token. A better way to earn and interact with other ecosystems and exchanges.
1.4/ THE COMMUNITY
These are the people that make up the number of the community but most importantly they include the people who hold, buy & sell the tokens.
An active community equals to an increase in price
An educated community makes the most out of the utility of a token
These are the people that make up the number of the community but most importantly they include the people who hold, buy & sell the tokens.
An active community equals to an increase in price
An educated community makes the most out of the utility of a token
1.5/ THE PARTNERS & VENTURE CAPITALISTS
Now these are the people who believe in the token and see it as a good investment. They are the first investors
NOTE❗️ Venture capitalists must be popular & credible enough to make a difference
Partners must also be the BEST
Now these are the people who believe in the token and see it as a good investment. They are the first investors
NOTE❗️ Venture capitalists must be popular & credible enough to make a difference
Partners must also be the BEST
2/ HOW TO STAKE
I’ll let you in on big news that can help you understand staking❗️
Proof-of-stake is the mechanism used to stake
This changes the way blocks are normally verified in Proof of work as cryptocurrency validators now share the task of validating transaction
I’ll let you in on big news that can help you understand staking❗️
Proof-of-stake is the mechanism used to stake
This changes the way blocks are normally verified in Proof of work as cryptocurrency validators now share the task of validating transaction
2.1/ Validators, after meeting a requirement for employment, stake their own crypto in exchange for a chance of getting to validate new transaction, update the blockchain, and earn a reward
Becoming a validator is expensive. For example, it costs 32 $ETH ($100k) to become one
Becoming a validator is expensive. For example, it costs 32 $ETH ($100k) to become one
2.2/ So how can you stake?
If you don't have that kind of money you can join a staking service where participants serve as validators jointly.
That’s how to can now go to a platform, see stake and add your money to contribute without knowing what goes on behind the scenes.
If you don't have that kind of money you can join a staking service where participants serve as validators jointly.
That’s how to can now go to a platform, see stake and add your money to contribute without knowing what goes on behind the scenes.
2.3/ Examples of protocols that have proof-of-stake consensus
Layman’s term: Where can I stake ?
Check the projects under these protocols
@tezos & coming soon ETH 2.0
Also, Tokens under Layer 1 ecosystems: AVAX, Luna. Check their websites, click the stake button and Stake!
Layman’s term: Where can I stake ?
Check the projects under these protocols
@tezos & coming soon ETH 2.0
Also, Tokens under Layer 1 ecosystems: AVAX, Luna. Check their websites, click the stake button and Stake!
3/ HOW TO FARM
Yield farming involves lending from staking a cryptocurrency in exchange for interest and other rewards. It is a type of staking mechanism that involves, get this, LENDING & BORROWING❗️
Yield farming involves lending from staking a cryptocurrency in exchange for interest and other rewards. It is a type of staking mechanism that involves, get this, LENDING & BORROWING❗️
3.1/ Yield farming works by first allowing an investor to stake their coins by depositing them into a lending protocol through a decentralized app, or dApp
Users who are yield farming, also known as liquidity providers, lend their funds by adding them to a smart contract- a pool
Users who are yield farming, also known as liquidity providers, lend their funds by adding them to a smart contract- a pool
3.3/ Where can I farm?
A beautiful example by @thedefiedge
A beautiful example by @thedefiedge
4/HOW TO DIFFERENTIATE A DEX FROM A CEX
DeFi Analyst lingo 🥴
CEX - Centralized Exchange
DEX -Decentralized Exchange
CEX - Buy & sell crypto Here /w 3rd party to monitor transaction. Example Binance & Coinbase
DEX - Swap & bridge crypto /w out 3rd party. Example uniswap,
DeFi Analyst lingo 🥴
CEX - Centralized Exchange
DEX -Decentralized Exchange
CEX - Buy & sell crypto Here /w 3rd party to monitor transaction. Example Binance & Coinbase
DEX - Swap & bridge crypto /w out 3rd party. Example uniswap,
5.1/ REQUIREMENTS TO USE A DEX
• Does not require sign up process or email addresses.
• A smartphone or a laptop is required.
• A mobile wallet: Trust wallet, MetaMask or Safepal. Can be found on your App Store.
• Does not require sign up process or email addresses.
• A smartphone or a laptop is required.
• A mobile wallet: Trust wallet, MetaMask or Safepal. Can be found on your App Store.
5.2/ HOW TO USE A DEX
• Pick a network you want to interact with
• Fund the network’s native token in your wallet. Ex: $AVAX
• Fund with CEX then transfer to DEX—a video class on this will be dropped on my telegram channel: t.me
• Choose a correct network
• Pick a network you want to interact with
• Fund the network’s native token in your wallet. Ex: $AVAX
• Fund with CEX then transfer to DEX—a video class on this will be dropped on my telegram channel: t.me
• Choose a correct network
5.3/ NOTE THE TOP DEX’s
Every ecosystem has a DEX that is popular and has almost all tokens under their ecosystem
@traderjoe_xyz is to AVAX
@PancakeSwap for BSC
All you need to do is get their correct websites and connect them to your Dapp browser
That’s all! 😮💨
Every ecosystem has a DEX that is popular and has almost all tokens under their ecosystem
@traderjoe_xyz is to AVAX
@PancakeSwap for BSC
All you need to do is get their correct websites and connect them to your Dapp browser
That’s all! 😮💨
6/ HOW TO SLIP A SLIPPAGE 🔍
For the liquidity-less platforms
Slippage occurs when lack of liquidity results in investors paying above the market prices on an order.
Let’s say you buy $30 worth of a token after a 15% slippage it becomes $25.5
For the liquidity-less platforms
Slippage occurs when lack of liquidity results in investors paying above the market prices on an order.
Let’s say you buy $30 worth of a token after a 15% slippage it becomes $25.5
7/ HOW TO USE DEFI TOOLS FOR YOUR RESEARCH
The portfolio tracker: @zapper_fi, @DeBankDeFi, @zerion_io. All you need to do is connect them to your wallet
The all chain Bridger: @SynapseProtocol. Helps you move your tokens across different blockchains or ecosystems
The portfolio tracker: @zapper_fi, @DeBankDeFi, @zerion_io. All you need to do is connect them to your wallet
The all chain Bridger: @SynapseProtocol. Helps you move your tokens across different blockchains or ecosystems
7.1/ Best Stablecoin tool: @0xCoindix. Most people prefer trading stablecoins only as they’re a lot safer and present good borrowing & lending incentives.
This is where the term “Become your own bank with DeFi comes to play”
This tool helps track the best interest rates on SC
This is where the term “Become your own bank with DeFi comes to play”
This tool helps track the best interest rates on SC
7.2/ Real life price tracker: @dexscreener
Helps you see the latest
• Trends
• tokens
• Top gainers and losers and even gives you information about what is happening at that particular time
Sweet❗️
Helps you see the latest
• Trends
• tokens
• Top gainers and losers and even gives you information about what is happening at that particular time
Sweet❗️
8/ HOW TO KNOW WHAT TO INVEST IN AT THE RIGHT TIME
I wrote a thread on this but one thing I forgot to add is the cycle of trends
Trends make the market. Get into a good community for info.
Early this year it was AVAX then FTM dump, then $CRONOS now
I wrote a thread on this but one thing I forgot to add is the cycle of trends
Trends make the market. Get into a good community for info.
Early this year it was AVAX then FTM dump, then $CRONOS now
TL; DR
• How to make a proper DEFI research
• How to Stake
• How to farm
• How to differentiate a DEX from a CEX
• How to interact with a DEX
• How to slip the slippage
• How to use DeFi Tools for research
• How to know what to invest in at the right time
• How to make a proper DEFI research
• How to Stake
• How to farm
• How to differentiate a DEX from a CEX
• How to interact with a DEX
• How to slip the slippage
• How to use DeFi Tools for research
• How to know what to invest in at the right time
Finally! 😮💨
So if you liked this thread, congratulations on coming this far
Do me a favour by hitting the ❤️, RT & on the first tweet
Follow @Tianne_E for more 🤩
So if you liked this thread, congratulations on coming this far
Do me a favour by hitting the ❤️, RT & on the first tweet
Follow @Tianne_E for more 🤩
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