Balancer

During the turn of the decade, the use of cryptocurrencies immensely shot up. A massive shift took place in how financial systems are utilized and perceived. The shift from the traditional, centralized financial systems to the new decentralized peer-to-peer exchange system, i.e., DeFi, occurred. This system is facilitated by innovations adapted from the Ethereum blockchain.   The growth of DeFi is driven by liquidity. Reliable liquidity pools, in turn, became integral to the functionality of most of the dApps in the…

Every crypto user, including the beginner, has met with the word DeFi, an acronym for Decentralized Finance. DeFi consists of an ecosystem of Financial applications developed on top of blockchains. In addition, DeFi introduces the investors' aspect, making returns on the value of their assets through yield farming markets. Yield farming, also known as liquidity mining, is where crypto holders lend cryptocurrencies and get fees and interest as returns. For example, yield farming imposes a similar principle when an individual…