GM!
The stock price of First Republic Bank ($FRC), yet another 🇺🇸 bank, has taken a major hit, dropping by 96.75% over the course of a year.
The stock price of First Republic Bank ($FRC), yet another 🇺🇸 bank, has taken a major hit, dropping by 96.75% over the course of a year.
Pittfals of A.I. in DeFi
Artificial Intelligence (A.I.)🤖 is gaining popularity in the DeFi space for its ability to improve efficiency, reduce costs, and increase transparency. However, we should be aware of potential pitfalls and delusions surrounding the use of A.I. in DeFi 🚨.
One potential pitfall is that A.I. could make specific jobs and accountability obsolete, complicating an already challenging sector to regulate. Additionally, A.I. tools could introduce new security and decentralization risks, especially if developed by private companies or individuals.
It is important to remember that A.I. cannot entirely replace human decision-making and is not a magic solution to all DeFi's problems. While A.I. can increase transparency and decentralization, it must be used correctly✅, and we should avoid using it as a one-size-fits-all solution.
Furthermore, AI-based trading systems may not be more profitable than existing systems, and we should not rely solely on A.I. to eliminate the need for trust in DeFi. Instead, developers should focus on where A.I. can realistically make a difference and use it responsibly and ethically.
What are your thoughts on using A.I. in DeFi? Do you see it as a promising addition, or are you hesitant about its practical application? 🤔 Let us know your views in the comments below!
Artificial Intelligence (A.I.)🤖 is gaining popularity in the DeFi space for its ability to improve efficiency, reduce costs, and increase transparency. However, we should be aware of potential pitfalls and delusions surrounding the use of A.I. in DeFi 🚨.
One potential pitfall is that A.I. could make specific jobs and accountability obsolete, complicating an already challenging sector to regulate. Additionally, A.I. tools could introduce new security and decentralization risks, especially if developed by private companies or individuals.
It is important to remember that A.I. cannot entirely replace human decision-making and is not a magic solution to all DeFi's problems. While A.I. can increase transparency and decentralization, it must be used correctly✅, and we should avoid using it as a one-size-fits-all solution.
Furthermore, AI-based trading systems may not be more profitable than existing systems, and we should not rely solely on A.I. to eliminate the need for trust in DeFi. Instead, developers should focus on where A.I. can realistically make a difference and use it responsibly and ethically.
What are your thoughts on using A.I. in DeFi? Do you see it as a promising addition, or are you hesitant about its practical application? 🤔 Let us know your views in the comments below!
GM!
🇺🇸 GDP slowed sharply in Q1 (1.1%) as Fed pushed the interest rates higher.
🇺🇸 GDP slowed sharply in Q1 (1.1%) as Fed pushed the interest rates higher.
DeFi Lending
Today we will delve into crypto lending! 💰💻
Crypto lending is a process where you lend your cryptocurrency to other users for a fee. This can be done on both centralised and decentralised platforms, but the core principles remain the same. By participating in crypto lending, you can passively earn interest on your cryptocurrency by locking it up in a pool that manages your funds. Plus, depending on the reliability of the smart contract, there is usually little risk of losing your funds. This is because the borrower is often required to put up collateral, or a CeFi platform (e.g., Binance) manages the loan.
So, how does crypto lending work? Typically, three parties are involved: the lender, the borrower, and a DeFi platform or crypto exchange. The borrower must, in most cases, put up collateral before borrowing any crypto, and lenders add their crypto to a pool that manages the loan and forward a cut of the interest to lenders. On the other hand, by locking your coins, you lose liquidity.
Have you ever used such platforms? If so, which? Let us know!
Today we will delve into crypto lending! 💰💻
Crypto lending is a process where you lend your cryptocurrency to other users for a fee. This can be done on both centralised and decentralised platforms, but the core principles remain the same. By participating in crypto lending, you can passively earn interest on your cryptocurrency by locking it up in a pool that manages your funds. Plus, depending on the reliability of the smart contract, there is usually little risk of losing your funds. This is because the borrower is often required to put up collateral, or a CeFi platform (e.g., Binance) manages the loan.
So, how does crypto lending work? Typically, three parties are involved: the lender, the borrower, and a DeFi platform or crypto exchange. The borrower must, in most cases, put up collateral before borrowing any crypto, and lenders add their crypto to a pool that manages the loan and forward a cut of the interest to lenders. On the other hand, by locking your coins, you lose liquidity.
Have you ever used such platforms? If so, which? Let us know!
Listen to our Twitter Spaces with Cartesi!
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Join our #HoC Twitter Space Panel with @cartesiproject (by @carlofragni & @omranic) on the 28th of April at 4:00 PM UTC.
🔹50$ $USDT Lucky Airdrops for grabs!
🔸Attend our Spaces & Gleam to participate: https://t.co/yQVPxhQw5Y
🔹Twitter Spaces: https://t.co/0fPQo5Nqj5…
🔹50$ $USDT Lucky Airdrops for grabs!
🔸Attend our Spaces & Gleam to participate: https://t.co/yQVPxhQw5Y
🔹Twitter Spaces: https://t.co/0fPQo5Nqj5…
GM!
The 🇺🇸 tech giants performed well in the Q1 of 2023. This was unexpected given the cool down in the industry during the Q4 of 2022.
The 🇺🇸 tech giants performed well in the Q1 of 2023. This was unexpected given the cool down in the industry during the Q4 of 2022.
DeFi Lending – Flash Loans
Previously, we introduced DeFi lending, but there are different types of loans. Today, we will cover the Flash Loans!
The loans allow individuals to borrow funds without the need for collateral 💰. These loans are given and repaid within a single block and are controlled by smart contracts, so no human interaction is required. The borrower can use the funds for any purpose as long as they can repay the loan with interest within the same block on the same network.
Such loans allow users to take advantage of arbitrage opportunities without risking their own funds (Always DYOR). For example, a trader could use a flash loan to purchase tokens from a liquidity pool (Pool A), where they are trading at a lower price and sell them in a pool (Pool B), where they are trading at a higher price. This allows traders to make a profit without having to use their own funds.
Flash loans are available on popular DeFi platforms such as Aave, Uniswap, and Equalizer Finance. Have you ever used a flash loan? If yes, which platform did you use?
Let us know in the comments! 💬
Previously, we introduced DeFi lending, but there are different types of loans. Today, we will cover the Flash Loans!
The loans allow individuals to borrow funds without the need for collateral 💰. These loans are given and repaid within a single block and are controlled by smart contracts, so no human interaction is required. The borrower can use the funds for any purpose as long as they can repay the loan with interest within the same block on the same network.
Such loans allow users to take advantage of arbitrage opportunities without risking their own funds (Always DYOR). For example, a trader could use a flash loan to purchase tokens from a liquidity pool (Pool A), where they are trading at a lower price and sell them in a pool (Pool B), where they are trading at a higher price. This allows traders to make a profit without having to use their own funds.
Flash loans are available on popular DeFi platforms such as Aave, Uniswap, and Equalizer Finance. Have you ever used a flash loan? If yes, which platform did you use?
Let us know in the comments! 💬
DeFi Lending – Collateralised Loans
Yesterday, we discussed Flash Loans⚡️ and how to take advantage of arbitrage opportunities. Today, we will cover another type of loan, the Collateralised Loan!
The loan allows you to borrow money against your crypto holdings. These loans require borrowers to deposit a specific amount of crypto as collateral. However, your collateral must be higher than the amount you want to borrow, and your collateral may get sold off to cover your loan if you do not repay it. This is because of the loan-to-value ratio (LTV), which determines the amount of collateral. With the volatile nature of crypto, the LTV ratio is typically low, such as 50%. This ensures that if the borrower cannot repay the loan, the lender can recoup their losses by selling the collateral. The collateral is held by the lender during the duration of the loan and is returned to the borrower once the loan is fully repaid.
When a borrower takes out a loan, they typically receive newly minted stablecoins like DAI, or crypto that someone has lent. Lenders deposit their assets into a smart contract that locks up their funds for a specific time. Once the borrower has the funds, they can use them as they wish but must ensure their collateral remains at the required level.
🤖💻 When borrowing through DeFi, you’ll need to use a protocol that provides lending services such as Aave, Compound, or MakerDAO. These protocols are governed by smart contracts, making the lending process transparent and efficient.
Have you ever used any lending services? Let us know in the comments below 💬🤔!
Yesterday, we discussed Flash Loans⚡️ and how to take advantage of arbitrage opportunities. Today, we will cover another type of loan, the Collateralised Loan!
The loan allows you to borrow money against your crypto holdings. These loans require borrowers to deposit a specific amount of crypto as collateral. However, your collateral must be higher than the amount you want to borrow, and your collateral may get sold off to cover your loan if you do not repay it. This is because of the loan-to-value ratio (LTV), which determines the amount of collateral. With the volatile nature of crypto, the LTV ratio is typically low, such as 50%. This ensures that if the borrower cannot repay the loan, the lender can recoup their losses by selling the collateral. The collateral is held by the lender during the duration of the loan and is returned to the borrower once the loan is fully repaid.
When a borrower takes out a loan, they typically receive newly minted stablecoins like DAI, or crypto that someone has lent. Lenders deposit their assets into a smart contract that locks up their funds for a specific time. Once the borrower has the funds, they can use them as they wish but must ensure their collateral remains at the required level.
🤖💻 When borrowing through DeFi, you’ll need to use a protocol that provides lending services such as Aave, Compound, or MakerDAO. These protocols are governed by smart contracts, making the lending process transparent and efficient.
Have you ever used any lending services? Let us know in the comments below 💬🤔!
GM!
🇺🇸 regulators race to sell First Republic Bank. JPMorgan, Citizens and PNC already submitted bids.
🇺🇸 regulators race to sell First Republic Bank. JPMorgan, Citizens and PNC already submitted bids.
DeFi Lending – Pitfalls
Decentralized Finance (DeFi) lending has emerged as a popular option for individuals seeking to earn interest on their cryptocurrency holdings or obtain loans without intermediaries. However, it is essential to consider the potential drawbacks:
🔹Risk of Liquidation
🔸Vulnerable Smart Contracts
🔹Portfolio Risk
👉🏼 One major disadvantage of DeFi lending is the high risk of liquidation, even if you over-collateralize your loan. Sudden drops in cryptocurrency prices can lead to the loss of your collateral.
👉🏼 Another disadvantage is the vulnerability of smart contracts to attacks. If they contain poorly written code or back-door exploits, they can be vulnerable to hacking attempts, losing your loaned funds or collateral.
👉🏼 Finally, borrowing and lending through DeFi can increase the risk of your portfolio. Doing so can expose you to even greater risks, primarily if you invest in a volatile cryptocurrency or take out large loans.
It's essential to consider these potential drawbacks before investing in DeFi lending! 🔍
Decentralized Finance (DeFi) lending has emerged as a popular option for individuals seeking to earn interest on their cryptocurrency holdings or obtain loans without intermediaries. However, it is essential to consider the potential drawbacks:
🔹Risk of Liquidation
🔸Vulnerable Smart Contracts
🔹Portfolio Risk
👉🏼 One major disadvantage of DeFi lending is the high risk of liquidation, even if you over-collateralize your loan. Sudden drops in cryptocurrency prices can lead to the loss of your collateral.
👉🏼 Another disadvantage is the vulnerability of smart contracts to attacks. If they contain poorly written code or back-door exploits, they can be vulnerable to hacking attempts, losing your loaned funds or collateral.
👉🏼 Finally, borrowing and lending through DeFi can increase the risk of your portfolio. Doing so can expose you to even greater risks, primarily if you invest in a volatile cryptocurrency or take out large loans.
It's essential to consider these potential drawbacks before investing in DeFi lending! 🔍
GM!
After🇺🇸 regulators intervention, JPMorgan is to acquire First Republi´s deposits ($93.5bn). JPMorgan controls over 10% of American deposits.
After🇺🇸 regulators intervention, JPMorgan is to acquire First Republi´s deposits ($93.5bn). JPMorgan controls over 10% of American deposits.
#Bitcoin remains incredibly strong and relentless.
🔹Bitcoin hash rate is currently at an all-time high of 440 TH/S
🔸Despite the macroeconomic turmoil, the ongoing Russian-Ukrainian war & high inflation led to higher energy prices
🔹Meanwhile, banks are failing left and right.
🔹Bitcoin hash rate is currently at an all-time high of 440 TH/S
🔸Despite the macroeconomic turmoil, the ongoing Russian-Ukrainian war & high inflation led to higher energy prices
🔹Meanwhile, banks are failing left and right.
DeFi Lending – Advantages
Over the past few days, we've focused on DeFi lending and its potential drawbacks. Today, let's shift our focus and talk about the benefits of taking out a cryptocurrency loan:
🔹Accessible Capital
🔸Automation
🔹Passive Income with Little Effort
One of the primary benefits is the easy accessibility of capital. Unlike traditional financial institutions, anyone with sufficient collateral can easily access capital without undergoing a credit check, making it a more inclusive financial system.
Another advantage of DeFi lending is using smart contracts to manage loans. Smart contracts automate the entire lending and borrowing process, making it more efficient and scalable.
Last but not least, DeFi lending offers a simple way to earn passive income. HODLers can deposit their cryptocurrency in a vault and begin earning yield without the need to manage their loans actively.
In conclusion, crypto lending platforms can provide value but always DYOR!
Are you considering exploring DeFi Lending? Let us know in the comments!💬
Over the past few days, we've focused on DeFi lending and its potential drawbacks. Today, let's shift our focus and talk about the benefits of taking out a cryptocurrency loan:
🔹Accessible Capital
🔸Automation
🔹Passive Income with Little Effort
One of the primary benefits is the easy accessibility of capital. Unlike traditional financial institutions, anyone with sufficient collateral can easily access capital without undergoing a credit check, making it a more inclusive financial system.
Another advantage of DeFi lending is using smart contracts to manage loans. Smart contracts automate the entire lending and borrowing process, making it more efficient and scalable.
Last but not least, DeFi lending offers a simple way to earn passive income. HODLers can deposit their cryptocurrency in a vault and begin earning yield without the need to manage their loans actively.
In conclusion, crypto lending platforms can provide value but always DYOR!
Are you considering exploring DeFi Lending? Let us know in the comments!💬
GM!
🇺🇸FED might increase interest rates at 2 PM (ET), today! What is your take?
🇺🇸FED might increase interest rates at 2 PM (ET), today! What is your take?
Final Results
77%
25bp
23%
0bp
DeFi in Music Industry – Opulous🎧
Did you know some DeFi features are being implemented in the music industry? Music was shared through CDs💿 and other media in the past, but streaming has now become the major revenue driver. However, many artists, especially smaller ones, struggle due to the complex royalty distribution system by the record labels (e.g., Universal, Sony). This is where Web3 alternatives come in - they aim to democratise the process and provide artists with the resources💰 they need to fund their projects.
One such pioneer is $OPUL, a DeFi platform built on the #Algogrand blockchain that connects music enthusiasts with artists🎤. $OPUL enables artists to tokenise their music and receive funding in exchange for a portion of their future revenue with fans. The platform includes various DeFi features, such as:
🔹Staking
🔸MFT Exchange
🔹MFT Launchpad
🔸Etc.
Be sure to read our next post about MFTs and their utility!
What do you think about the music industry and its reward distribution system? Do you believe that decentralisation could better support creators in producing more content?💬
Share your thoughts!
Did you know some DeFi features are being implemented in the music industry? Music was shared through CDs💿 and other media in the past, but streaming has now become the major revenue driver. However, many artists, especially smaller ones, struggle due to the complex royalty distribution system by the record labels (e.g., Universal, Sony). This is where Web3 alternatives come in - they aim to democratise the process and provide artists with the resources💰 they need to fund their projects.
One such pioneer is $OPUL, a DeFi platform built on the #Algogrand blockchain that connects music enthusiasts with artists🎤. $OPUL enables artists to tokenise their music and receive funding in exchange for a portion of their future revenue with fans. The platform includes various DeFi features, such as:
🔹Staking
🔸MFT Exchange
🔹MFT Launchpad
🔸Etc.
Be sure to read our next post about MFTs and their utility!
What do you think about the music industry and its reward distribution system? Do you believe that decentralisation could better support creators in producing more content?💬
Share your thoughts!
House Of Chimera
GM!
🇺🇸FED might increase interest rates at 2 PM (ET), today! What is your take?
🇺🇸FED might increase interest rates at 2 PM (ET), today! What is your take?
JUST IN: FED raises interest rates by 25bps.
GM!
The three 🇺🇸 banks had one thing in common. They were audited by KMPG, raising question re. the audit quality of the Big4 company.
The three 🇺🇸 banks had one thing in common. They were audited by KMPG, raising question re. the audit quality of the Big4 company.
Opulous – Music Fungible Tokens (MFT)
🎶 Opulous is a DeFi platform making things fairer for artists. They're trying to democratise the reward distribution system by using, for example, MFTs.
MFTs are like special digital certificates that show you're a supporter of a particular artist, and you get some exclusive benefits in return, like a share of their music revenue. This is all done using blockchain technology, so it's secure and transparent. This way, artists can circumvent the labels through the Algorand blockchain. This should encourage creativity and content creation since the funding burden should be lower.
To launch an MFT, artists have to launch the MFT via the $OPUL launchpad. If you own and your $OPUL tokens are staked, you can participate in exclusive MFT sales before anyone else. Once you have the MFT, you can trade it on a dedicated exchange, which makes it easy to buy or sell them. This creates a liquid asset market, and, to ensure liquidity, the MFT exchange is integrated with a third-party Algorand DEX.💰
Would you be interested in supporting your favourite creator and even capitalising on their music? Let us know your thoughts!
🎶 Opulous is a DeFi platform making things fairer for artists. They're trying to democratise the reward distribution system by using, for example, MFTs.
MFTs are like special digital certificates that show you're a supporter of a particular artist, and you get some exclusive benefits in return, like a share of their music revenue. This is all done using blockchain technology, so it's secure and transparent. This way, artists can circumvent the labels through the Algorand blockchain. This should encourage creativity and content creation since the funding burden should be lower.
To launch an MFT, artists have to launch the MFT via the $OPUL launchpad. If you own and your $OPUL tokens are staked, you can participate in exclusive MFT sales before anyone else. Once you have the MFT, you can trade it on a dedicated exchange, which makes it easy to buy or sell them. This creates a liquid asset market, and, to ensure liquidity, the MFT exchange is integrated with a third-party Algorand DEX.💰
Would you be interested in supporting your favourite creator and even capitalising on their music? Let us know your thoughts!
GM!
🇪🇺ECB raised the interest rates by 25bp following FED´s raise the day before.
🇪🇺ECB raised the interest rates by 25bp following FED´s raise the day before.