Cardano officially entered its DeFi summer in 2023, with TVL tripling since January! To understand what has driven this rise in Cardano DeFi, see the article on why Cardano’s TVL is rising. With this, now is as good a time as any to get involved in Cardano DeFi, and using a DEX is the first stepping stone into the world of DeFi — so here’s the what, the why, and the how!
What is a DEX?
A centralized exchange, i.e., a stock exchange, is where a middleman, a central clearinghouse, facilitates exchanges between users. A DEX (Decentralized EXchange) is a place where asset exchange is automated, with no need for an intermediary.
Self-executing smart contracts or matchmaking bots execute transactions on a DEX. These transactions are completed in a permissionless manner, and no one can prevent a user from partaking in exchanges.
How do DEXes Work?
There are two models that a DEX can use:
The Automated Market Maker (AMM) model, first popularized by Ethereum’s Uniswap, is the most popul
We współpracy z: https://thenewscrypto.com/beginner-guide-how-to-use-a-cardano-dex/
