1/ The crypto space is vast and full of possibilities, but one should always DYOR (Do Your Own Research) to navigate in this world - but how?
In this thread, we show you how to properly DYOR 🧵
1/ Let's keep diving in doing your own research (DYOR).
We've already discussed how to evaluate a project's whitepaper, team, and community.
Let's dive deeper🧵
1/ You probably saw that Core is now integrated in
@SushiSwap
and if you're wondering how to interact with it, we got your back.
Everything you need to know 👇🧵
1/ Liquidity pools play a critical role in DeFi. They power the engine of many decentralized exchanges. But what exactly are they and how do they work? 🧵
1/ So you've started in the blockchain space, maybe traded some crypto, or even owned an NFT, but do you know what's behind the curtain?
Time for a deep dive into the stages of a blockchain network: Devnet, Testnet, Betanet, and Mainnet🧵
1/ With rise of De-Fi on
#CoreDAO
lets talk about a hot model of DEX making its mark in
#Coremunity
🌟ve(3,3)
ve(3,3) is a new De-Fi design first proposed by
@AndreCronjeTech
. It combines (3,3) design by Olympus DAO and vote escrow tokenomics "ve" from Curve and Convex.
2/ First, go straight to the source: explore the project's website, social media channels (especially Twitter) and search them on Google. A legitimate project will have a polished online presence and a strong foundation.
8/ Check the project's
@CoinMarketCap
or
@coingecko
and look for vital information. Time to make some math - market cap, trading volume, and historical performance.
8/ Remember, the world of blockchain can be overwhelming at first, but don't worry—you'll get the hang of it soon. Embrace the journey and welcome to the decentralized future!
3/ Dive deep into the team members, advisors, and partnerships. Transparency is key. If the team is anon, you need to double check all the other steps.
4/ Next: go into the project's whitepaper and documentation to grasp the essence of their technology, goals, and roadmap.
5/ Examine the most technical details possible, its tokenomics, and look out for possible red flags. Remember, a well-crafted whitepaper doesn't guarantee success, but it's an excellent place to begin.
7/ Immerse yourself in the community by joining the project's Telegram group and Discord server. Seek answers and observe discussions.
A knowledgeable and passionate community often indicates a project's potential.
6/ Scrutinize the project's token distribution and economics. Is the allocation equitable? Is there a vesting schedule for team members and advisors?
A harmonious token distribution helps prevent centralization and helps with the project's sustainability.
10/ Therefore, in a decentralized world, self-education and cautious decision-making become pivotal. While
#blockchain
technology and decentralization bring numerous opportunities, they also require individuals to be proactive in protecting their interests.
6/ Start interacting with the dApp! Depending on its purpose, you might be able to trade, stake, mint NFTs, or participate in governance. Enjoy the decentralized experience!
7/ Keep learning and exploring! Join online communities, attend webinars, and engage on social media. Twitter and Discord are the best places to start. The blockchain space is continuously evolving, so stay curious.
9/ Always do your own research before getting involved in liquidity pools or any DeFi protocols. The potential rewards are significant, but the risks are equally so.
As always, DYOR and follow
@Coredao_Academy
and
@Coredao_org
for more threads.
2/ First, choose a reputable wallet that supports the blockchain you want to interact with. Popular options include
@metamask_io
,
@TrustWallet
, and
@CoinbaseWallet
. Always keep your private keys and seed phrases secure.
10/ The lifecycle of a blockchain, from its early, clumsy Devnet to the proud and confident Mainnet. Remember, always do your own research before diving into it. And, as always, follow
@Coredao_Academy
and
@Coredao_org
for more threads.
3/ Next, acquire some cryptocurrency, such as
#Bitcoin
,
#Ethereum
, or
#CORE
, depending on your chosen blockchain. You can purchase crypto from various exchanges or receive it from a friend.
5/ Connect your wallet to the dApp and grant the necessary permissions. Make sure to double-check the dApp's address and verify its legitimacy before proceeding. Stay safe!
4/ Now it's time to explore decentralized applications (dApps). Browse through curated lists, like
@defipulse
or
@dapp_com
, to find a dApp that interests you, from decentralized finance (DeFi) to NFT marketplaces.
8/ It's also worth noting that all transactions in a liquidity pool occur on-chain, which means transaction fees (gas fees) can be high during peak times on networks like Ethereum.
9/ But reaching Mainnet doesn't mean it's the end. It’s the start of a continuous journey of adaptation, upgrades, and sometimes hard forks (changes in the protocol that create a new path). Even when mature, a blockchain is always evolving, always growing.
6/ Remember: if it seems too good to be true, it likely is. Always invest within your means and risk tolerance.
Investing time in research is way more essential for making good decisions.
9/ This term refers to a situation where early investors, including the influencers themselves, sell off their holdings for a profit, leading to a sudden drop in the value of the investment for those who remain.
1/ Liquidity pools play a critical role in DeFi. They power the engine of many decentralized exchanges. But what exactly are they and how do they work? 🧵
2/ Decentralization is a foundational concept in blockchain and
#cryptocurrency
, but it's essential to understand its full implications. In a truly decentralized
#blockchain
, control isn't centralized in one entity or authority.
2/ The math you've done in terms of market cap, trading volume, and historical performance can help you gain a better understanding of the project's current standing in the crypto space.
8/ If an individual invests based on the hype generated by others, particularly influencers who may have vested interests, they may inadvertently become a source of "exit liquidity".
6/ Rather than simply following advice from influencers or other external sources, individuals should conduct thorough research into the project's credibility, utility, team, and community support.
9/ So there it is, a sneak-peek into the world of blockchain gaming! Ready to level up? Remember to do your own research before diving in. Follow
@Coredao_Academy
and
@Coredao_org
for more threads.
7/ This includes understanding the project's vision, use case, underlying technology, financial model, and the transparency of its operations. Influence-driven investment strategies can be perilous.
8/
#Bitcoin
, for example, is a decentralized
#cryptocurrency
because no single entity controls the Bitcoin network. Its protocol is maintained by a community of developers, and its blockchain is upheld by miners and nodes distributed around the world.
10/ Only time will tell what we can still see from NFTs. Until then, remember to do your own research before diving into it. And, as always, follow
@Coredao_Academy
and
@Coredao_org
for more threads.
2/ A liquidity pool is a collection of funds locked into a smart contract. It's used to facilitate decentralized trading, lending, and many more functions. These pools are the backbone of many DeFi protocols.
3/ While this means there is no single point of failure and increased transparency, it also presents unique challenges. A key challenge is the lack of centralized oversight or regulation, making the
#blockchain
a double-edged sword.
3/ Next, you need to evaluate the developers behind the project. Some critical questions to consider:
• What's their track record with other projects?
• Are they well-known?
• How responsive are they to inquiries?
4/ On the one hand, decentralization fosters innovation, freedom, and privacy. On the other hand, it leaves the door open for potential scams and malicious activities. In such an environment, responsibility for safety and security falls upon individual users.
5/ Knowledge is power - staying updated on project developments, trends, and potential red flags will help you make better decisions.
Trust your instincts and be cautious of unrealistic guarantees, exorbitant returns, and opaque projects.
9/ Like them or not, NFTs showed us a new way of valuing digital assets and empowered creators in a way we haven't seen before. Their future potential, like much of the blockchain world, remains full of both exciting possibilities and challenges.
8/ Despite these challenges, blockchain gaming is evolving and innovating rapidly. It's merging fun with financial incentives and introducing a new concept of play-to-earn, where your gaming skills might just pay the bills!
10/ For instance, if the device or piece of paper on which the private key is stored is lost, damaged, or destroyed, access to the cryptocurrency is lost forever. It's crucial to take all necessary precautions to protect and back up cold storage information.
4/ It's also important to consider whether the product is live or if there's a timeline for it. The potential of a project can be gleaned from these insights.
4/ This model differs from traditional or centralized exchanges where there's a need for a buyer and a seller for a trade to happen. With liquidity pools, one can trade directly with the pool without the need for an exact counterparty.
10/ Remember, in the world of
#cryptocurrencies
, possession of the private key means possession of the assets associated with it. Always protect your private keys and be mindful of scams asking for them 🚨
2/ The journey of a blockchain network is like the life stages of a butterfly - each phase has a purpose, and each is necessary to evolve into the final, flourishing product. Let's start from the very beginning: Devnet.
3/ The funds in a liquidity pool come from providers who deposit an equal value of two tokens in a pool. As a reward, they earn trading fees from the trades that happen in their pool, proportional to their share of the total liquidity.
5/ The benefits of the ve3,3 model?
- ve3,3 DEX provides Dynamic Swap Curves with lowest Dynamic Fees which together provides best rates
- veLOCK
- Inflation control with lock process
- On-chain Voting
- Bribes
- Efficient TVL Acquisition and Utilisation
- Decentralization
10/ To protect yourself, always be skeptical of unsolicited communication and never provide personal information in response to an email, phone call, or text message. Always verify the source before clicking any links or downloading attachments.
3/ Devnet, or Developer Network, is the embryonic stage of a blockchain project. Here, developers think, code, and lay the groundwork for what the blockchain will eventually become.
It's a sandbox playground where bugs are more than welcome; they’re the guests of honor.
10/ While some users may find this invasive, these procedures are essential for exchanges to comply with laws and regulations designed to protect consumers and prevent illegal activity.
2/ Two-Factor Authentication (2FA) is a security measure that requires users to provide two different types of information to verify their identity when logging into an account.
8/ Finally, the big stage of Mainnet - the 'mature adult' phase. It's the fully functional, live network where real transactions take place. Mainnet is where theory meets practice, and all the hard work (and debugging) comes to fruition.
5/ The price of tokens in a liquidity pool is determined algorithmically. Uniswap, for example, uses a formula x*y=k, where x and y are the quantities of the two tokens in the pool and k is a constant. This is known as an automated market maker (AMM) model.
6/ By requiring two different types of information for authentication, 2FA makes it much more difficult for potential intruders to gain access to a person's devices or online accounts, because knowing the password alone is not enough to pass the authentication check.
6/ Next comes the Betanet phase, our blockchain's 'young adulthood'. It’s when the project first starts to interact with the real world and real value but with training wheels on. Some projects skip this stage, but others find it a valuable test of their blockchain's robustness.
4/ Then, we transition to the Testnet. Think of it as the blockchain's teenage age. In the Testnet stage, the network is exposed to a wider audience, but it’s not yet dealing with real money or high stakes. It's a simulation of the real thing, like a flight simulator for pilots.
3/ This is done to add an extra layer of security and prevent unauthorized access to accounts, as knowing the password alone is not enough to gain access.
7/ Betanet acts as a bridge between a controlled environment and the wild west of the blockchain world. It's a live test of how the network operates, with real transactions, real tokens, and real-world unpredictability - but on a smaller scale.
5/ In the Testnet stage, users can play with "test tokens" to test transactions, smart contracts, and dApps. It's all about hunting bugs and refining the system. Even the biggest blunders here are valuable lessons, not catastrophic losses.
2/ "Multisig" stands for multi-signature, which is a specific type of digital signature scheme. It is a method that adds an extra layer of security for cryptocurrency transactions.
2/ First things first, you need to bridge your assets to the Core network. For this, you can use the Core bridge powered by
@LayerZero_Labs
👇
To learn how to use the bridge, follow Sushi's comprehensive guide👇
6/ Liquidity pools offer many advantages. They enable anyone to become a market maker and earn trading fees. They also offer more transparency as everything is recorded and verifiable on the blockchain.
2/ Decentralization, in the context of
#cryptocurrencies
and
#blockchain
technology, refers to the distribution of authority, operations, and decision-making across a wide network of computers or nodes rather than concentrating them within a single central entity or authority.