Tag: explained

  • Bonding curves in DeFi, explained

    Understanding bonding curves in DeFi Bonding curves in decentralized finance (DeFi) leverage smart contracts and mathematical formulas to dynamically adjust a token’s price based on its supply.  Bonding curves are smart contracts that algorithmically determine a token’s price based on its circulating supply. As more tokens are purchased, the price adjusts upward, and as tokens…

  • Offline staking, explained

    Understanding offline staking A technique for engaging in a proof-of-stake (PoS) blockchain network without disclosing the private keys of the staked tokens to the online network is offline staking or cold staking.  Specific blockchain networks employ the PoS consensus mechanism to certify transactions and safeguard the network. In a proof-of-stake system, validators are chosen to…