DeFi - a jungle full of opportunities!

[Dasboot]

I've been following crypto for some years, but these past weeks I've been going deeper into it all.

What is going on in DeFi now is completely amazing! Just finished a very good course (won't mention where, not interested in being banned!) that gave me a good overview, and I was really surprised on how quickly this ecosystem has been developing.

I now feel that parking some of my cash in stablecoins like DAI, USDC, USDT and others on stable platforms is SAFER than some of my personal bank accounts - and will be investing slowly into this, with an aim of having perhaps 10-20% placed in a mix of systems and coins to achieve redundancy.

Some lending platforms give you a return of up to 10%, on average it seems to be 3-5% - so putting a smaller amount spread around on 5-10 platforms makes sense, even of one should completely fail the gain would offset the loss.

If there is any interest I could share my experiences on each of the platforms or apps that I end up actually using

 

[Dasboot]

As its OK to share links to recommended third parties, this is the course:

DeFi 101 - Old Version Course - Moralis Academy

Ever wondered how protocols like DAI, Uniswap, Synthetix, Maker work? Take this course to understand the financial revolution unfolding before our eyes.

academy.ivanontech.com

The course on privacy coins is also very good, BUT highly technical...

 

[JohnLocke]

If there is any interest I could share my experiences on each of the platforms or apps that I end up actually using

Please go ahead, maybe we can learn something from it

 

[exprtadvisrdev]

I have been using multiple sites to park an small part of my savings (around 5%) with stable coins, using sites like blockfi, binance, blockchain and youhodler I'm getting on average 7% of interest pear year which is good but I'm not 100% confident yet and that's why I don't place too much money on sites like that.

Mainly because of the famous "not your keys, not your coins" and also because some USDT like tether have multiple controversy.

Do you think they are safer than bank accounts? even with insurance?

 

[Dasboot]

Totally agree with that percentage!

Who knows what might happen with the banks... I'd guess some countries are less exposed than others, but most have that petro-dollar in common - what happens when it collapses?

When that happens is what is hard to know...

All I know is that I've seen how all possible loopholes have been closed the past years, in Norway the amount that is logged when sending ANY cash out of the country is now at around 400 euros!

For all practical purposes getting cash from ATMs there has been almost shut off completely too, also when withdrawing abroad - if I did not have Revolut, N26 and Transferwise I would not have been able to convert cash to gold here in Thailand on the scale I have...

Which I also managed to get done before the crash in March, basically the complete collapse of NOK was offset by gold going up - and all of this was not a surprise at all, to be honest.

Gold is GREAT here, there are shops every few block in most areas, and so far I've had no issues at all - also when changing up in size. The handling is standardised, quick and transparent - gold is real money, as it should be! Currently I've got around 50% of my savings in physical.

Thanks for mentioning some options that are not on my radar yet, will check them out

 

[KJK]

Honestly, most of DeFi seems like complete bulls**t to me.

I like Bitcoin, I somewhat understand Ethereum but I have mixed feelings about it. It's like a gateway drug to get involved with altcoins and defi (buy ETH to do weird things).

I also understand the purpose of stablecoins but at the same time I'm worried about what they are able to do, just look at how untransparent Tether/Bfx is.

Yes, you can buy stablecoins and then park your coins into these lending/decentralized platforms.
They will give you interest, last time I checked ranging from 2-10%, lowest usually for BTC and highest for some stablecoins (USDC, GUSD...).

Is it safer than a bank? Definitely no. It is like a situation when you had dollars few years ago and you had two options: a) put them into a US bank and get 0.5% interest and federal insurance; or b) keep them in a Lebanese bank that offered you 10% interest. Fast forward into today and if you used option b), your money is blocked and possibly gone.

Does it make sense to use these DeFi platforms for lending? Not really for me. If you want to do lending, you actually don't even need such platform, you can do similar trades (margin lending etc.) on exchanges such as Bitfinex, Poloniex or Bitfinex.

The returns doesn't justify the risk involved. In DeFi lending platforms your upside is max. 10% and your downside is max. 100%. You should be looking for exactly opposite opportunities - e.g. an option that gives you 10% downside and 1000% upside.

 

[Dasboot]

You might be right

But still, being in the space and following what is happening is important I think, even if only to have built up different channels to move assets in when the big one comes...

The lending I'm referring to is not for margin trading btw, its more like actually doing a deposit in a bank that can not just print any percentage of cash based on the deposits.

In my case I'll inject something like 10-20-50 dollars in each at most, get a "feel" of how each project develops & then see

All in all max 5% of my assets, not more!

 

[Dasboot]

Do you think they are safer than bank accounts? even with insurance?

Potentially safer when the big one comes... Bail-ins have happened already after all!

 

[jakonda]

I've been following crypto for some years, but these past weeks I've been going deeper into it all.

What is going on in DeFi now is completely amazing! Just finished a very good course (won't mention where, not interested in being banned!) that gave me a good overview, and I was really surprised on how quickly this ecosystem has been developing.

I now feel that parking some of my cash in stablecoins like DAI, USDC, USDT and others on stable platforms is SAFER than some of my personal bank accounts - and will be investing slowly into this, with an aim of having perhaps 10-20% placed in a mix of systems and coins to achieve redundancy.

Some lending platforms give you a return of up to 10%, on average it seems to be 3-5% - so putting a smaller amount spread around on 5-10 platforms makes sense, even of one should completely fail the gain would offset the loss.

If there is any interest I could share my experiences on each of the platforms or apps that I end up actually using

Okay, I must admit that you wrote a nice and sweet post but here is a problem. Nowadays crypto bros, marketing gurus, and SEO promoters become so sophisticated that I/you can not separate an ad from a real honest review. That's why I am taking your advise with a pinch of salt. You are saying that Crypto lending plafroms give you returns up to 10% but on which basis, how can they make 5% or even 10% for me? If I understand you correctly I need to buy "stablecoins" and lend them on those lending platforms, then they give me X% on the amount of stablecoins I have lended to them, right - can you give us some info on how platforms and lending process work? Because it looks like a perfect polygon for a ponzi scheme to me.

 

[jakonda]

As its OK to share links to recommended third parties, this is the course:

DeFi 101 - Old Version Course - Moralis Academy

Ever wondered how protocols like DAI, Uniswap, Synthetix, Maker work? Take this course to understand the financial revolution unfolding before our eyes.

academy.ivanontech.com

The course on privacy coins is also very good, BUT highly technical...

Which program did you pick Basic, Premium or Profi. ?

 

[jayminho]

I have been using multiple sites to park an small part of my savings (around 5%) with stable coins, using sites like blockfi, binance, blockchain and youhodler I'm getting on average 7% of interest pear year which is good but I'm not 100% confident yet and that's why I don't place too much money on sites like that.

Mainly because of the famous "not your keys, not your coins" and also because some USDT like tether have multiple controversy.

Do you think they are safer than bank accounts? even with insurance?

this is awesome!!! i share the exact same thing, one day, one of those defi that promisses 5%+ will come out with a beautiful exit scam and take away billions!! mark this post!