How can AVAX be used to participate in decentralized finance (DeFi)?

1 answers

• Dec 25, 2021 · 3 years ago
  AVAX, the native cryptocurrency of the Avalanche network, has gained significant traction in the decentralized finance (DeFi) space. With the rise of Avalanche as a high-performance blockchain, AVAX has become a valuable asset for participating in DeFi activities. Users can utilize AVAX to provide liquidity on decentralized exchanges (DEXs) such as Pangolin or Trader Joe. By doing so, they contribute to the liquidity pool and earn trading fees. AVAX can also be used as collateral for borrowing and lending on platforms like Aave or Compound. This allows users to access funds without selling their AVAX holdings. Additionally, AVAX can be staked in various DeFi protocols to earn passive income. Some platforms even offer yield farming opportunities, where users can lock their AVAX and earn additional tokens as rewards. Overall, AVAX offers a range of options for users to engage in DeFi and benefit from the growing ecosystem.
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