LESSON 14: DEFI: passive income in a couple of clicks. Staking, farming, liquidity pools

In this lesson you will learn:

  • What types of income exist on a decentralized exchange;
  • What are staking, farming and liquidity pools;
  • What IDO, DAO, NFT and lending are needed for;
  • Manual: How to add your coins to staking and earn on it.

Complete the assignments:

  1. Buy 0.1 BNB in PancakeSwap to your wallet following the manual in the lesson.

  2. Buy also 25 USDT (or other comfortable amount) of cake coins.

  3. Put your coins into Staking in the special PancakeSwap section following the manual in the lesson.

Supplementary materials:

↓ Download a PDF presentation

Text of the Lesson

Explore helpful resources:

https://dailydefi.org/tools/impermanent-loss-calculator/ — impermanent loss calculator;

https://aave.com/ — earn by lending your crypto;

https://daomaker.com/ — one of the largest IDO platforms;

https://polkastarter.com/ — IDO launchpad in the Polkadot blockchain;

https://bscpad.com/ — IDO in the Binance Smart Chain blockchain;

https://vote.makerdao.com/ — DAO voting portal;

https://opensea.io/ — the first and largest NFT marketplace.

let’s check your knowledge

1. Impermanent loss occurs due to:

  • Low yield of a liquidity pool
  • Trading pair volatility
  • High network commission

2. Liquidity provider is:

  • The one who created the smart contract for the liquidity pool
  • The one who uses liquidity pools to exchange
  • The one who put their funds in the liquidity pool

3. The profitability rate in farming, which is calculated taking into account the reinvestment of earned tokens, is called:

  • APY
  • APR
  • Compound

4. If we compare the ways of investing in the DeFi market, then the most profitable will be:

  • Coin hold
  • Farming
  • Liquidity pool

5. How is the concept of NFT deciphered?

  • Non-fake token
  • Non-functional token
  • Non-fungible token