STON.fi Blog

Impermanent loss refers to the loss that liquidity providers (LPs) might experience when they supply assets to a DeFi liquidity pool, compared to simply holding those assets outside the pool. This phenomenon occurs due to the fluctuations in the prices of the tokens within the liquidity pool. To better understand impermanent loss, it's essential to know the mechanics of automated market makers (AMMs) and how they function. The Basics of Liquidity Pools and AMMs In DeFi, liquidity pools are the backbone of decentralized exchanges (DEXs), where users trade cryptocurrencies without a traditional order book. Liquidity pools consist of pairs

From chart-topping artists to indie musicians, NFTs are opening new avenues for creativity, fan engagement, and revenue streams. But what does this mean for artists, listeners, and investors in the ever-evolving landscape of music and technology? What Are Music NFTs? Simply put, it's a unique digital token that's linked to a piece of music. This could be a single track, an entire album, a music video, or even a piece of generative music. But here's where it gets interesting: music NFTs aren't just about owning a digital file. They're about owning a piece of the music itself. Imagine having a stake in your favorite artist's next hit –

Bitcoin, long recognized as a digital store of value and medium of exchange, has traditionally lagged behind Ethereum in decentralized finance (DeFi). However, the advent of BTCFi and BRC-20 tokens is changing this landscape. What Are BRC-20 Tokens? BRC-20 tokens are fungible tokens on the Bitcoin blockchain, using the Bitcoin Ordinals protocol. This protocol inscribes data onto satoshis (Bitcoin's smallest units) as JSON, including token details like name and supply. BRC-20 aims to bring token functionality to Bitcoin, similar to Ethereum's ERC-20 tokens, but with Bitcoin's unique features. Unlike ERC-20 tokens that use smart contracts

Imagine the blockchain world as a vast archipelago. Each island represents a unique blockchain network. While rich in resources, these islands often stand isolated. Cross-chain bridges like magical pathways connect islands and allow treasures to flow freely between them. However, these bridges have weak spots. Pirates (malicious actors) have already exploited some weaknesses, not only stealing assets but undermining the bridges' credibility. DefiLlama reports over $2.83 billion lost to cross-chain bridge hacks. Understanding vulnerabilities is your first line of defense. DefiLlama states cross-chain bridge hacks have resulted in over