DeFi Concepts
DeFi concepts.
📄️ Arbitrage
Leverage information asymmetry. Arbitrage is the practice of buying and selling assets over two or more markets as a way to take advantage of different prices.
📄️ Curve Wars
DeFi's Fight for Liquidity.
📄️ Farm Funding Rate
Funding Rate Arbitrage: is a strategy that involves borrowing a stablecoin and using it to buy a token that is expected to appreciate in value. The goal is to profit from the difference between the interest rate on the borrowed stablecoin and the appreciation of the token.
📄️ Impermanent Loss
Impermanent Loss happens when the price of your tokens drop compared to when you deposited them. The larger the change is, the bigger the loss.
📄️ Liquidity Pool
Liquidity Pools are the backbone of many decentralized exchanges (DEX).
📄️ Slippage
When transactions are sent to Ethereum, the amount of gas given as a charge for performing each transaction determines the order in which they are executed.
📄️ Transaction Settlement
The layer at which a transaction is settled.
📄️ Yield Farming
Lending cryptocurrency is also known as yield farming or liquidity harvesting.