Episode notes
In this episode of Untangling Web3, hosts Alec Burns and Jack Davis delve into the complexities and innovations of decentralized finance (DeFi). They begin by discussing the fundamental shift from centralized entities to technology-driven solutions in DeFi, highlighting the role of smart contracts as self-executing contracts distributed across blockchain networks. While acknowledging the transparency benefits of smart contracts, they also caution about potential risks like bugs. The conversation then turns to the ERC 20 and ERC 721 standards crucial for building tokens and NFTs and discusses oracles, vital for feeding external data to smart contracts, thereby broadening DeFi protocols' information scope. However, they note that oracles reintroduce a level of trust into the system, albeit distributed among multiple parties.
The hosts explore ...