"Decentralized finance"
If you are a novice in the world of cryptocurrencies, you have surely seen people commenting on names of coins that you have never even heard of. This happens because they are smart contract coins, coins that are traded on the DEX, such as:
*PancakeSwap, if it is coins from the BSC network
*Raydium, if it is from SOLANA
*Uniswap, if it is from ETHEREUM
Among other networks we have out there.
When we start operating in the world of cryptocurrencies, by default, we go to the easy and most known mode: Create an account on a centralized exchange (CEX), such as Binance for example, which is the largest in the world. Once the account is created on the Exchange, we can easily trade currencies in the Spot market mode. Everything is perfect, you have the platform showing you the most known and consolidated coins, market tools, you can deposit and withdraw fiat currency, everything is already laid out to make your life easier.
However, centralized exchanges (CEX) have a small number of cryptocurrencies compared to decentralized ones (DEX). This is because, for a Binance to list a cryptocurrency, it must meet several security requirements, have good trading volume among other factors in security auditing, and when the coin no longer meets any requirement, Binance can delist it. Therefore, the safest environment for a novice to operate will always be within a centralized exchange.
Now here on the DEX, it is totally different. Here exists ALL THE CRYPTOCURRENCIES of this investment universe. Any coin you buy on a centralized exchange can be purchased directly on some DEX through its smart contract directly or interconnected. But what drives someone to come to the DEX is the huge range of new token options daily, especially meme coins. Today, anything, LITERALLY ANYTHING, can become a MemeCoin! Whether it’s an image, a Tweet, a phrase, a situation, it doesn’t matter. Anything can be transformed into a cryptocurrency with no utility other than Pump & Dump, mere pyramid schemes. Some even manage to "rise in life", but most have a short lifespan.
To operate on the DEX you do not need to create an account, it is 100% anonymous. Just create a cryptocurrency wallet, and of course, some are more suitable for each case:
*TrustWallet, if you want to trade on the BSC network. Then buy BNB and use the Dex PancakeSwap.
*Phantom, if you want to trade on the SOLANA network. Then buy SOL and use the Dex Raydium.
*Metamask, if you want to trade on the ETHEREUM network. Then buy ETH and use the Dex Uniswap.
Just connect the wallet to the Dex website and you're ready, you can make exchanges with coins from smart contracts!
If you want to know more, check the channel on my profile. There are instructions in Brazilian Portuguese.
