Education

DeFi Explained at Your Level

Clear, layered explanations with real examples and plain-language risks.

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DeFi is like a super-fair candy club. A magic box keeps everyone’s candy safe and follows the rules by itself.

Key ideas

  • You can share candy with the box and later get more back.
  • You can trade candy with others using the box.
  • The rules are written down and can’t be changed on a whim.

Examples

  • Lending: You put 10 candies in; friends borrow and return a little extra.
  • Swapping: Trade 1 chocolate for 2 gummies using the box—no arguing.

What to watch out for

  • Make sure you check the magic box rules.
  • Ask a grown-up before using a new magic box.

Market Regime Learning Simulator

Adjust market conditions to see which strategies switch on. , , and are explained inline.

Market Controls

Regime: bull
4
Trend drives direction: , decisions pivot here.
35
Higher vol increases and liquidation risk.
5
When base rates rise, lending & fixed yield become more attractive.
0.6
transfers value between longs & shorts.

Key Takeaways

  • Bullish trend: LPs and lending loops improve; fixed PT yields stay competitive.
  • Positive funding: longs pay; shorts/delta-neutral collect carry.

Strategy Responses

GMX

Perps

Perp longs/shorts; LP to earn fees/funding.

APY: Variable Risk: High

Uniswap v3

AMM / LP

Concentrated liquidity; active range management.

APY: 5–25%+ Risk: Medium

Aerodrome

AMM / LP

ve(3,3) AMM; boosted emissions and bribe-driven APR.

APY: 10–40%+ Risk: Medium

Curve

AMM / LP

Stable-to-stable LP; low IL, steady fees.

APY: 3–10% Risk: Low

Balancer

AMM / LP

Weighted/multi-asset pools; custom exposure control.

APY: 4–18% Risk: Medium

vFat

AMM / LP

High-efficiency pools designed to minimize IL.

APY: 6–22% Risk: Medium

Aave

Lending

Deposit collateral; borrow to loop or redeploy into yield.

APY: 4–10% Risk: Low

MakerDAO

Lending

Mint DAI against BTC/ETH; structure fixed-rate leverage.

APY: 3–7% Risk: Low

Pendle

Yield Derivatives

Split yield into PT/YT; fixed income or variable yield trading.

APY: 8–20%+ Risk: Medium

Jones DAO

Structured Products

Strategy vaults spanning options, perps, and LP.

APY: Varies Risk: Medium

Vectis (Guarded Account)

Infrastructure

Smart account infra; safer ops & tooling.

APY: — Risk: Low

Ribbon (Aevo)

Structured Products

Options vaults for yield enhancement.

APY: 8–18% Risk: Medium

Vectis JLP Navigator

Delta-neutral
Structured Products

Delta-neutral vault capturing perp funding & fees while hedged.

APY: 5–14% Risk: Low

Element Finance

Yield Derivatives

Access fixed-rate yields via principal tokens.

APY: 5–12% Risk: Low

Synthetix

Perps

Perps on majors & synths; hedge or express macro views.

APY: Variable Risk: Medium