DeFi Yield Farming

DeFi Yield Farming

This project focuses on developing a DeFi app which implements the concept of yield farming / liquidity mining based Dai token.

Created on 8th May 2022

DeFi Yield Farming

DeFi Yield Farming

This project focuses on developing a DeFi app which implements the concept of yield farming / liquidity mining based Dai token.

The problem DeFi Yield Farming solves

This project focuses on developing a DeFi app which implements the concept of yield farming / liquidity mining based Dai token.

ToDos:
Add OpenZeppelin Contracts to minimize risks.
Develop a new feature to keep track of the rewards.
Implement a method to withdraw the rewards automatically when certain conditions are met (it is triggered manually in the current version).

What is yield farming?
At its core, yield farming is a process that allows cryptocurrency holders to lock up their holdings, which in turn provides them with rewards.

In brief:
Yield farming lets you lock up funds, providing rewards in the process.
It involves lending out cryptos via DeFi protocols in order to earn fixed or variable interest.
The rewards can be far greater than traditional investments, but higher rewards bring higher risks, especially in such a volatile market.

Here is the application software architecture work-flow:
Users use an Internet browser to connect front-end application which is written in HTML, CSS and JavaScript.
Then, instead of accessing a back-end server, the website talks directly to the blockchain which is where all the codes and data for the application lives.
The DeFi application codes are contained in smart contracts written in solidity progrramming language which was a lot like JavaScript. These smart contracts are immutable which means the code can not change and all the data is stored in the public ledger which is also immutable. And, anytime new data is added to the blockchain, it will be permanent and publicly verifiable.

Challenges I ran into

Many Challanges In This Project but A new kind of alternative to traditional banking has been gaining traction recently called decentralized finance, also known as DeFi. DeFi refers to financial applications built on blockchain technology that enable digital transactions between multiple parties.

Discussion

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