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There's many in decentralized finance. I work for a company called Balancer. On it you can invest in/create an index fund of your favorite currencies, then tra
by TimJRobinson 5y ago
There's many in decentralized finance.
I work for a company called Balancer. On it you can invest in/create an index fund of your favorite currencies, then traders use it to arbitrage and pay you fees for doing so. So instead of having an index fund you pay someone else to maintain, you get paid for it.
Or take Alchemix - You can get a loan that pays itself back over time, rather than you pay interest. Can think of it like a term deposit account where you get the payout up front instead of at the end.
Or Pool Together - a no loss lottery - you can use it as a savings account which is used to generate yield, then that yield is paid out as a prize every week.
Even just providing liquidity and earning a good return on that, or using something like Aave to get leverage, are things that very few people have access to in traditional finance.
There's a rabbithole of super interesting innovation going on in Decentralized Finance right now that you'll never hear about from mainstream publications because it's so hard to comprehend + explain for most people. This will go mainstream over the next decade.
- sofixa 5y agoNone of those sound impossible or worse without a blockchain. Alchemix and Pook Together sound like scams.
- TimJRobinson 5y agoPlease let me know where I can do these things outside of blockchain based systems? You can literally read the source code of these apps if you're skeptical. Almost everything in this world is open source.
- sofixa 5y agoYou run a random database? The fact nobody has thought to run that particular type of scam ( the Alchemix one for instance) with MySQL instead of a blockchain doesn't mean it can only possibly run on a blockchain.
- TimJRobinson 5y agoLol you're so close to getting why blockchains are useful. You have all the pieces but haven't put them together in your mind yet. Hint: It's not about literal storage of bytes, it's about trust. Why does alchemix have billions of dollars invested in it while your MySQL version would have precisely 0 investors?