liquidity pools

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Uniswap's Automated Market Maker Revolutionizes Decentralized Finance
• Impermanent Loss

Uniswap's Automated Market Maker Revolutionizes Decentralized Finance

Hayden Adams invented Uniswap in 2018. Since then, it has transformed the landscape of decentralized finance (DeFi), largely attributed to its pioneering Automated Market Maker (AMM) model. Uniswap removes centralized market makers by allowing users to trade equities directly from liquidity pools. Uniswap’s AMM mechanism, driven by a constant product...

DeFi's Promise or Peril? Liquidity Pools Explained for Africa's Future
• Reviews

DeFi's Promise or Peril? Liquidity Pools Explained for Africa's Future

Amina is a lively 16-year-old girl living in rural Kenya. She is intent on winning that small competitive loan so she can expand her fledgling textile manufacturing operation. Conventional banks are asking for collateral she lacks and loan interest rates that would sink her before she even gets off the...

Liquidity Providers Fuel DeFi Revolution: Understanding Crypto Liquidity Pools
• Impermanent Loss

Liquidity Providers Fuel DeFi Revolution: Understanding Crypto Liquidity Pools

Liquidity pools have become the backbone of decentralized finance (DeFi), transforming the way we trade and manage cryptocurrencies. These pools allow for efficient and instantaneous token swaps and offer yield earning opportunities and non-custodial staking. Liquidity providers (LPs) are the unsung heroes of the system, but the stars are the...

Liquidity Pools: Demystifying DeFi's Engine (Trader's Guide)
• Stories

Liquidity Pools: Demystifying DeFi's Engine (Trader's Guide)

Liquidity pools lie at the core of decentralized finance (DeFi). They power decentralized exchanges (DEXs) and allow users to trade cryptocurrencies directly, without the need for intermediaries. Traders entering the DeFi world need to be aware of how these liquidity pools work. It’s important to understand the risks they pose...

Curve's Yield Basis: Bye-Bye Impermanent Loss?
• Stories

Curve's Yield Basis: Bye-Bye Impermanent Loss?

Decentralized finance (DeFi) is an incredibly dynamic and complex space. It more actively engages with solutions to challenges like impermanent loss, a frankly doomed condition for any LP. ThrowingToken.com on Curve Finance’s unique ecosystem and revolutionary model via their Yield Basis (YB) platform. We consider this platform to be a...

Curve's Yield Basis: The Elegant Solution Impermanent Loss Needed?
• Reviews

Curve's Yield Basis: The Elegant Solution Impermanent Loss Needed?

Impermanent Loss (IL). The liquidity providers (LPs) of every DEX’s worst nightmare. You jump into the pool, lured by irresistible libertarian APRs. Before long, you notice that your portfolio’s return is trailing well behind simply owning the underlying assets. We've all been there. So, when Curve Finance steps up to...

Curve's Yield Basis: Bye-Bye Impermanent Loss?
• Stories

Curve's Yield Basis: Bye-Bye Impermanent Loss?

Impermanent loss has historically been the bane of DeFi liquidity providers’ existences. It's the risk that the value of your deposited assets can decrease compared to simply holding them, due to price fluctuations within the liquidity pool. Imagine if there were a way to minimize — or even completely remove...

Curve Finance Introduces Yield Basis Protocol to Combat Impermanent Loss
• Impermanent Loss

Curve Finance Introduces Yield Basis Protocol to Combat Impermanent Loss

Curve Finance has unveiled its new Yield Basis protocol, designed to tackle the persistent issue of impermanent loss in decentralized finance (DeFi). Dr. Egorov, founder of Curve Finance, discussed the protocol’s groundbreaking strategy to use concentrated liquidity. Through novel mechanisms, xLP aims to mitigate impermanent loss by redefining the mathematical...

Yield Basis: Impermanent Loss SOLVED for BTC/ETH LPs?
• Stories

Yield Basis: Impermanent Loss SOLVED for BTC/ETH LPs?

Navigating the rapidly changing landscape of decentralized finance (DeFi) can be filled with lucrative possibilities and daunting pitfalls for liquidity providers (LPs). One of the most stubborn issues is impermanent loss, which can stymie potential profitability of liquidity provision. ThrowingToken.com takes a deep dive on how Yield Basis is addressing...

Curve's Impermanent Loss Fix: DeFi Savior or Over-Engineered Risk?
• Reviews

Curve's Impermanent Loss Fix: DeFi Savior or Over-Engineered Risk?

The promise of DeFi is tantalizing: democratized finance, accessible to all, with returns that make traditional banks blush. The road to this decentralized utopia is paved with rug pulls, hacks, and the ever-present peril of impermanent loss. Curve Finance, via its new Yield Basis protocol, says it has figured out...