Introduction

Hello guys,
I am so delighted to be among those taking part in these amazing home work. Sincerely I have really learnt a whole lot from both these home work and the previous once given because it has help me to make more research. I want to appreciate they professor @yohan2on for such a wonderful lecture and a very educative home work.

Today I learnt a whole lot on Decentralized Finance (DeFi) as it was well explained by they professor him self. We see Decentralized Finance as the use of funds without a need for a central control.

Source

Homework task: Briefly explain each of the following DeFi Dapps

1. Maker
2. Compound
3. Synthetix
4. bZx
5. Uniswap

Maker

Maker is a permissionless lending platform. One unique feature of Maker as a platform is that it gives loan to it users and uses digital assets as its collateral. Any of the digital assets can be use as a collateral e.g Ether. It is important to mention here that lending in these platform is been controlled by smart contract.Maker is generally use for two purposes i.e as governance tokens and also to pay stable fees.

Compound

These is a place where you as a user can borrow or lend crypto currency. It doesn't deal with third part so no fear of loosing your resources. They requirements are very simple, just an Etherum wallet and a little token.

Users can connect to compound using a web 3.0 wallet such as MetaMask and others to earn interest for them selves. We earlier said that DeFi Dapps are permissionless protocol and so the same thing with compound. These also implies that anyone in any where around the world who have a crypto wallet and an internet connection can freely interact with it.

Compound is useful because when it comes to transaction both the buyers and sellers only communicate using what is known as protocol.
In other words, we say it is been handled by smart contract.

Synthetix

Synthetic assets are financial instruments that presents their selves in the form of ERC-20 smart contract. Synthetix is an Ethereum based protocol which is responsible for issuing synthetic assets. More also, synthetic also support other commodities such as gold, silver and other crypto currency.

There are two methods you can use to trade in synths. And below is the both steps.

• Purchase ETH on an exchange

• Exchange ETH for sUSD on Kwenta

• Then exchange for other Synths, such as sBTC

Alternatively you can:

• Obtain SNX tokens on an exchange

• Stake them on Mintr, a decentralized application (dapp) created by Synthetix

• Create synths and begin trading them on Kwenta

bZx

bZx was founded by Tom Bean and Kyle Listener in the year 2017. bZx is a lending platform built on the Ethereum Blockchain. Importantly it is also been managed by smart contract. It is also a decentralized applications just like others. There are three different tokens that are involved here, iTokens, pTokens and the BZRX token. All these three tokens have their unique role that they play in the bZx functions.

Uniswap

I see uniswap as a decentralized applications (Dapps) i.e to say, exchanges here are not control by a single body. More also, uniswap deals with a pricing algorithm to determine its price.

Uniswap broadly has two major features i.e swap and pool.

• SWAP allows users to swap between Ethereum and other ERC-20 tokens.
• POOL allows users to earn by providing liquidity tokens in smart contract to receive rewards.

Advantages of using Uniswap

They following are the advantages of using Uniswap

• low trading fees of as low as 0.30% is the only charge accepted per transaction.
• New coin accessability, i.e uniswap has the features of accessing any new coin faster.
• You coin is solely in your custody and you can do as you please at any point in time.
• Flexibility of the application there by making it user-friendly.

Disadvantages of using Uniswap

They disadvantages of uniswap are as follows

• High probability of failure is always involve anytime swapping in is carried out in uniswap.
• More fake Coins, and fake transaction are been carried out on uniswap.

Best regards
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