Hello Steemian!!
In this article, I will discuss the homework provided by @reminiscence01 which is about DeFi products.

DeFi Products and How It's Shaping The Present-Day Finance

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In early 2000, all financial systems in the world were fully centralized, where all financial transactions such as sending and withdrawing money were fully controlled by the central bank, so that the central bank could fully understand our movements and we did not have full ownership of ourselves. assets that we put in the bank.

Then all that started to change when a person with the initials Satoshi Nakamoto created a cryptocurrency in 2009 called Bitcoin where this coin uses Blockchain technology which is a technology that is able to create a fully decentralized system so that there is no longer any third party that regulates the entire system. existing finances.

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Over time, cryptocurrencies began to develop and many other cryptocurrencies have emerged such as Ethereum. From the Ethereum Blockchain, a new financial system emerged called Decentralized Finance (DeFi). Ethereum introduces the DeFi system by creating a type of Application that is able to adapt to Blockchain technology, these applications are called DApps which are also known as Decentralized Apps.

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All applications made by the Ethereum Blockchain offer various features where it is able to carry out all financial transactions carried out by its users independently. This happens because the entire validation process that will validate the financial transaction will be validated by miners around the world so that no single authority has full control over the transaction.

After the rapid development of the DeFi system on DApps created by the Ethereum Blockchain, other Blockchains such as Binance Smart Chain, EOS Blockchain, Solana Blockchain, Tron Blockchain, etc has begun adapting the DeFi system on their Blockchain and started to create various DApps that will help their users to use the DeFi system.

One type of DeFi product in the form of DApps and focuses on financial systems is Decentralized Exchange. Decentralized Exchange or sometimes called DEX is a cryptocurrency exchange that runs independently and is not handled by any authority, all transaction processes on DEX will be carried out online and validation of each transaction will be carried out by the appropriate miners. with the type of Blockchain where the DEX is sheltered.

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Until now, there has been a lot of DEXs that have been created on various Blockchains such as PancakeSwap on the Binance Smart Chain and it is also Uniswap on the Ethereum Blockchain. All of these DEXs offer a highly decentralized exchange process where the tokens exchanged are drawn from the liquidity pool entered by the DEX users themselves.

The Benefits of DeFi Products To Crypto Users

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With the emergence of various DeFi products such as DApps that I described earlier, there are many benefits that these DeFi products provide to cryptocurrency users, the benefits include:

1. Full Rights to Crypto Assets

The first thing that is the advantage of DeFi products is that users who own crypto assets will have full rights to the crypto assets they own. As I explained above that when we put our money in the bank, the money is not fully deposited by the bank, sometimes our money will be used for the bank's own purposes.

So with this DeFi product, can provide a space for crypto-asset holders to store their assets safely and will not be used by others without their knowledge.

2. Cheaper Transaction Fee

Then, with this DeFi system, the transaction costs incurred by its users will be smaller when compared to a centralized system. This is because users no longer need to pay additional fees for third-party services because DeFi products are no longer third parties in conducting transactions. The whole system is already working independently.

3. Transaction Speed ​​Increase

The next advantage of DeFi products is that they can increase the speed of transactions. Usually, if we want to send money from the bank to a distant place then the time it takes will be longer. But with the DeFi product, there is no need to be afraid anymore. All transactions that occur will be processed online by the Blockchain network and can be completed in minutes or even seconds.

4. Privacy

Privacy is a right that must be owned by everyone, as well as financial privacy. With DApps which are DeFi products, it will allow people to hide financial things that others don't want to see. In contrast to the bank system, which can freely view and monitor all customer accounts.

5. Transparency

Every transaction in DeFi Products will be recorded on the Blockchain, and all transactions can be seen by anyone and at any time because the concept of decentralization on the blockchain is that nothing is covered up as in the case of banks. Therefore, it can quickly find out if something is wrong on the blockchain network, and everyone can be a monitor if there are strange movements on a Blockchain network.

Discuss Any DEX Project Built on Binance Smart Chain and Tron Blockchain

1. PancakeSwap

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The first DEX project I will discuss is a Decentralized Exchange that resides on the Binance Smart Chain called PancakeSwap. This DEX is a place that offers fast and low-cost exchange of BEP-20 tokens.

Until now, PancakeSwap is ranked 3rd out of all existing DEX projects, this proves that PancakeSwap is a very good DEX.

According to CoinMarketCap, the total volume traded in the last 24 hours on this DEX has reached more than $2 Billion which means the trades that occur on PancakeSwap are very liquid and are in great demand by many people.

We can also see this directly through the official website of PancekSwap where there are already more than 2.8 million people who are users of this DEX, then in the last 30 there have been 31 million trades that have taken place and $12 million has been staked on PancakeSwap.

Furthermore, what makes PancakeSwap unique is that the system is fully decentralized, we don't need to do any registration, let alone KYC so that we can trade on PancakeSwap.

What makes PancakeSwap different from other exchanges is that it no longer uses an order book system where each offer has to wait until there is a match between the buyer and the seller. This can happen because each token that is exchanged is a token that is in the liquidity pool that has been entered by the participant so that all BEP-20 tokens can be quickly exchanged between tokens of this type.

We can also get passive income by using a feature in PancakeSwap called Farm and Syrup Pools.

In the Farms feature, we are given an option where we will add liquidity to PancakeSwap with several choices of cryptocurrency pairs, if we have added liquidity then we will be able to earn income by doing Farms. The earnings will vary depending on what token pair we choose and each pool pair has a different %APR.

Then the second we can also get passive income by staking BEP-20 tokens. It's simple here we will lock the tokens that we have in the system, then we will get a reward for the tokens that we stake. As in the previous farms, the %APY that will be obtained will vary depending on what type of token we stake into the system.

The next feature is Prediction and Lottery, in this feature we will make predictions on several things that are used as questions by PancakeSwap. Then in the lottery feature, we will do a kind of gacha where if we are lucky we will get a very large number of prizes. But I don't recommend these two features because they are almost like gambling and not a good thing to do for people who prefer clearer results.

And for the last, there is a feature called NFT Market. In this feature, we will be offered various types of NFT which are traded freely to all users. We can make the purchase of the NFT by using the BNB coin as a means of payment.

2. JustSwap

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The second DEX project that I will discuss is a Decentralized Exchange on the Tron Blockchain called JustSwap. This DEX is the same place as PancakeSwap where they both offer exchanges. But because JustSwap is a project on the Tron Blockchain, the type of token that can be exchanged is a token of type TRC-20.

JustSwap is a DEx that has the largest trading volume level among other DEXs on the Tron Blockchain. At the time this task was created, the total volume traded in the last 24 hours on this DEX was over $47 million which illustrates how large the trades are on JustSwap.

If we look at the data on the CoinMarketCap website, so far JustSwap is ranked 27th out of all existing DEX projects.

The advantages that exist in JustSwap are the various features it offers. The first feature that is the main feature of JustSwap is the Swap Token feature. In this feature, JustSwap users can exchange their tokens with other TRC-20 Tokens instantly.

Then JustSwap also provides a Pool feature where users can participate to become a liquidity pool provider where they will get rewarded for the tokens they stake in the pool.

The next feature that is interesting to know is the Mining Feature, this feature allows users to mine various TRC-20 Tokens according to the provided Mining Pool. At this time JustSwap has provided 9 different Mining Pools so that users can choose according to their wishes.

Then we can also track transactions made on JustSwap through the Scan feature. This feature is almost the same as Tronscan in that they provide all transaction details on the Tron Blockchain, the difference is that the JustSwap scan feature only shows transactions on this platform.

And for the last, there is the SUN Redenomination feature. This feature is a feature created specifically so that the previous SUN Token holders named SUNOLD can exchange their tokens for new SUN tokens. This is because Yoken SUN has undergone token redenomination, where the developers have decided to increase the supply of SUN Tokens.

Swapping on JustSwap

To swap tokens using JustSwap the first thing I will do is connect my TronLink Wallet with JustSwap. The trick is to click on the extension in the browser.

After that, I enter the password from my TronLink Wallet so that it can be accessed.

Then I clicked on the Connect to Wallet button on the left of the JustSwap page.

Then a pop-up will appear that will connect my wallet with JustSwap, then I click on the TronLink Wallet option.

Then another notification will appear asking for permission to connect my wallet with TronLink wallet.

And finally my TronLink Wallet is done. To check it I looked back at the JustSwap page where I already had my public key on the platform which indicated that my TronLink Wallet was connected.

After that, I will start doing the token swaps. Here I will exchange my TRX with other tokens. To do so I have to first select the type of token I want in the second column.

After that, I will choose to swap my TRX with SUN Token.

Here I will swap 5 TRX, so it can be seen that I will get 14.87 SUN Tokens. Then I will click Swap to continue the token exchange process.

A notification will appear asking me to confirm this token swap process.

Then I will be asked to sign a contract for the swap process between the TRX and the SUN Token.

And after that, the token swap process between TRX and SUN tokens has been successful.

I also checked it on my TronLink Wallet, and the SUN Token that I swapped with TRX earlier has successfully entered my wallet.

The transaction process that I did can be seen on Tronscan in detail (you can see it by clicking on this link).

Conclusion

DeFi is a new breakthrough that greatly changed the financial world at large. With the DeFi system, it will open the minds of many people that the financial system used by the central bank today is not perfect and there are many shortcomings that have an impact on its customers.

With DeFi products such as PancakeSwap, JustSwap, etc., it will make many people freer to manage their finances, then with all these DApps, it will provide a sense of comfort and mana to all users because they have a much better level of privacy and speed as well as transaction costs. when compared to the existing system at the bank today.

CC:
@reminiscence01