Understanding the landscape of decentralized finance
Although DeFi’s narrative has successfully captured the attention of crypto investors, there are not enough educational materials out there that encapsulate the workings of the growing horde of protocols responsible for DeFi’s astronomical rise as the new “poster child” of the crypto market. I recently had the opportunity to talk to Viktor Radchenko, founder of Binance’s Trust Wallet, and while exploring the intricacies of some of the quality protocols in this sphere, he agreed that DeFi offers unique profit-generating capabilities.
According to Radchenko, the simplest way to identify the market dynamics of protocols with the potential of generating passive income is to track metrics on DeFi Pulse. As Radchenko explained: Just like Uniswap, protocols targeting the lending sector such as MakerDAO, Kava, Curve, Aave and Compound have developed unique models that let users earn rewards.