Ethereum ICO (fungible) NFT (non) DeFi & Smart Contracts Basics
#Ethereum fungible tokens are #ICO tokens compared to Nonfungible tokens, #NFT, which aren't fungible for each other. I'll also explain some #DeFi & #SmartContracts Basics for anyone learning how to trade the tokens, where to trade them and what the difference is between fungible and nonfungible tokens.
One of my favorite reasons for using Ethereum so often is that I can use #MetaMask or Ledger to sign into countless websites rather than logging in with personal data, verifying emails and confirming credit card numbers. Once I log into MetaMask I can use #Opensea, #Rarible and #Uniswap without any additional information needed. Imagine a young person about to join the career world, but instead of filling out applications, they open an Ethereum wallet, join Virtual Reality and get a job with Nike as a customer service representative on their parcel of VR land. The VR economy is coming fast and it’s all running on Ethereum gas.
ICOs, or Initial Coin Offerings, are coded to a template or standard of Ethereum called ERC20. NFTs, or Nonfungible Tokens, can not be traded like the ICO tokens above. NFTs are unique like baseball cards, cars, houses, songs and paintings. DeFi is automated code, like notification emails. When we first started using eBay buyers were too scared to send the money first while sellers were too scared to ship the merchandise first. Smart contracts are just lines of code that transact the process automatically, like buying an NFT on OpenSea or selling your minted NFT on Rarible.
Borrowing and lending are new because NFT assets are gaining more liquid values where they can be used as collateral for someone that wants to borrow some ETH without selling their NFTs. Decentralized finance is a term that promotes the process of becoming more decentralized over time, with one smart contract at a time. Similar to the time it took for websites to automate several types of email notifications, companies will now start the process of becoming more DeFi when they see it as a bonus for their customers.
Twitter: @chrisbelltoken
Blog: https://chrisbell.com/blog.php
Opensea: https://opensea.io/accounts/chrisbell