This is the second session of dForce Mr. Zhang’s practical operation of DeFi opportunities. Many users found me in the community and wanted to know how to participate in high-yield DeFi mining machines
Comp/Bal/MTA/MCB/DF/CRV, etc. This is an introductory article summarizing frequently asked questions by users.
you will know
Which reliable decentralized wallets can play DeFi
What is Gas? When is it cheaper to operate Gas? Calculate your own Gas cost
How to exchange stable currency USDT to USDC/DAI/PAX more cheaply
How to exchange WETH/WBTC?
How do I sell my coins in DeFi mining?
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01 Prepare decentralized wallet
Decentralized wallets are your toolbox. Here is a list of decentralized wallets that can satisfy most of the tools you need to experience DeFi (DeFi applications for transfers, transactions, and mining):
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02 What is Gas? When is Gas cheaper?
Gas is similar to oil, whether you want to cook or go out to drive, you need it. Playing DeFi on Ethereum requires Gas (oil) even for the simplest actions. When more people use it, the Gas (oil) will be more expensive.
PS: Gas (oil) has been very expensive recently. When is it cheaper to pool the funds you want to operate and complete the operation as soon as possible? Gas is determined by supply and demand. Generally speaking, gas will be the cheapest in the morning of Beijing time. I usually choose this time to operate (compared to almost half of the cost of your operation at night), and usually each wallet will help you. As an estimate, the cost is displayed according to low, medium and high. It is recommended to use the "medium" gas cost. If your transaction fee is relatively low and the transaction has not been confirmed for a long time, you can see an acceleration button in the red box. After increasing the Gas fee, the transaction will be confirmed faster
PS: You can also see the detailed fees here:https://ethgasstation.info/
How to calculate how much Gas (oil) is needed each time?
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03 How to exchange cheap stablecoins?
Cheap stablecoins are particularly useful in DeFi mining. In the popular project Compound, USDT had the highest yield at first, and then DAI and USDC had the highest yield. The lower the exchange cost, the higher the income. Simply calculate that the transaction fee of the centralized exchange is 2/1000 of the handling fee. If you save half of the exchange fee, it is equivalent to earning 1/1000 ( The annualized 5% of the wealth management product deposits 7 days to get the interest), not to mention that there is generally no depth of hundreds of thousands of dollars in stablecoin exchange in centralized exchanges, and a large exchange will lose the slippage except for transaction fees. There are several most commonly used stablecoin exchange channels
Curve（https://www.curve.fi/）
Balancer（https://balancer.exchange/#/swap）
mStable（https://app.mstable.org/swap）
dForce Swap（https://trade.dforce.network/）
Also try aggregating transactions1inchThere can be exchanges between various currencies on the above. I usually do this. I quickly log in to each website, enter the amount of stablecoins I want, record the exchange price, and compare and exchange. You may have a lot of doubts about the first exchange, why do you need to authorize the unlock token (Unlock), this action also needs to spend additional Gas fees, tell everyone that this is a one-time fee, you don’t need it after the authorization is completed on this platform Well, you can find a time when Gas is cheap to authorize. Understand Curve in detail
Curve is ugly but most of the time it has the best exchange rate. The first red box is your exchange rate + handling fee. I entered 10,000 USDT above to get 9997.6 USDC; the second red box is to choose Gas ( Gas), there are four options: ultra-fast/fast/medium/slow, if you are in a hurry, you can use fast; the third red box is how much the system will calculate the gas cost this time. dForce Swap
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Aggregation transaction 1inch
The operation is also very simple. The first step is to enter the quantity, the second step is to authorize the unlocking of assets (mentioned above), and the third step is to exchange. Don’t worry about other buttons, 1inch will find the best price for you by default. 04 How to exchange WETH and WBTC
I found that many holders of BTC and ETH saw the opportunity to earn the hot mining income of Balancer while holding the currency. On Balancer, the two can be paired into a trading pair to provide liquidity to obtain mining Bal income.
But before going in, you need to convert normal BTC/ETH to WBTC/WETH, why do you need to convert? It can be understood that when driving from Hong Kong to Shenzhen, you need to switch from right-hand drive to left-hand drive. In many DeFi applications, WETH is required first. WETH, 1 ETH = 1 WETH. Generally speaking, I like to exchange on Oasis. For any decentralized wallet, search for the Oasis app
Step 1 Enter the Trade page Step 2 Select Balances Step 3 Select Wrap Step 4 Enter the amount to convert ETH to WETH Step 5 Click Proceed to complete If you want to reverse the same to this Dapp, select Unwrap in WETH
Besides WBTC, if you have BTC and want to mint coins directly into WBTC, one of the ways is through Coinlist, but you need to wait 1 day for KYC review, and the handling fee is 0.25% (full English)
https://coinlist.co/asset/wrapped-bitcoin
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Kyber
https://kyberswap.com/swap/usdt-wbtc
05 How do I sell my coins in DeFi mining?
A very intuitive choice can be sold on centralized exchanges, such as MXC/HBTC/Hufu/Hotbit, etc. Recently, almost any DeFi project will be launched on exchanges. The second way is to quickly sell in decentralized wallets through Uniswap out, and then continue to provide the sold coins for mining (there is no need to withdraw the coins to the centralized exchange in the middle)
https://app.uniswap.org/#/swap
The first red box is to switch trading pairs. The system defaults to ETH on the top, I switched it to ETH on the bottom, and the Comp I want to exchange is on the top; the second red box is the price of Comp/ETH, and the third red box is Uniswap estimates the minimum amount of coins you can get after the exchange.
In the next issue of dForce, Mr. Zhang said that DeFi opportunities are practical. I will carefully write about the entanglements and discomforts encountered in DeFi mining (I am also entangled), the gas fee is high, the operation is complicated and difficult to understand, but you want high returns? How to judge whether I should participate in this DeFi mining? If you like my article, you can also help me click to read and share it
A preview: dForce will also have its own DF mining plan, which will be launched in the near future
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