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 Building Full Stack DeFi Applications

You're reading from  Building Full Stack DeFi Applications

Product type Book
Published in Mar 2024
Publisher Packt
ISBN-13 9781837634118
Pages 490 pages
Edition 1st Edition
Languages
Concepts
Author (1):
Samuel Zhou Samuel Zhou
Profile icon Samuel Zhou
Toc

Table of Contents (21) Chapters close

Preface 1. Part 1: Introduction to DeFi Application Development
2. Chapter 1: Introduction to DeFi 3. Chapter 2: Getting Started with DeFi Application Development 4. Chapter 3: Interacting with Smart Contracts and DeFi Wallets in the Frontend 5. Part 2: Design and Implementation of a DeFi Application for Trading Cryptos
6. Chapter 4: Introduction to Decentralized Exchanges 7. Chapter 5: Building Crypto-Trading Smart Contracts 8. Chapter 6: Implementing a Liquidity Management Frontend with Web3 9. Chapter 7: Implementing a Token-Swapping Frontend with Web3 10. Chapter 8: Working with Native Tokens 11. Part 3: Building a DeFi Application for Staking and Yield Farming
12. Chapter 9: Building Smart Contracts for Staking and Farming 13. Chapter 10: Implementing a Frontend for Staking and Farming 14. Part 4: Building a Crypto Loan App for Lending and Borrowing
15. Chapter 11: An Introduction to Crypto Loans 16. Chapter 12: Implementing an Asset Pool Smart Contract for a Crypto Loan 17. Chapter 13: Implementing a Price Oracle for Crypto Loans 18. Chapter 14: Implementing the Crypto Loan Frontend with Web3 19. Index 20. Other Books You May Enjoy

Refactoring smart contracts to support native tokens in a DEX

As we discussed in previous chapters, the frontend of the DEX interacts with the AMMRouter smart contract to add liquidity, remove liquidity, and swap tokens. The AMMRouter smart contract transfers the tokens from the user to one instance of the TokenPair smart contract when adding liquidity and swapping tokens. It transfers tokens back from one of the TokenPair smart contracts to a user when removing liquidity and swapping tokens. If a liquidity pool-based DEX wants to deal with ETH or any native token, these processes need extra steps that involve wrapping or unwrapping the native tokens.

Next, we will discuss how AMMRouter works as the intermediary between the native token and TokenPair smart contracts.

The router as the intermediary

The router of a DEX plays an important role in performing all the extra steps for handling native tokens. It means the router will work as the intermediary between the user and...

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