Today, Coin98 will show you how to:
- Purchase and store CELO.
- Transfer funds to the Celo blockchain by transferring CELO coins from an exchange (CEX) or using a cross-chain bridge.
- Seek Investment Opportunities on Celo
Let's jump right into the Celo Blockchain!
Celo is a mobile, carbon-neutral blockchain that makes decentralized financial (DeFi) tools and services accessible to anyone with a mobile phone – bringing the benefits of DeFi to users of the 6 billion smartphones in circulation.
Celo enables native and non-native digital assets–both cryptographic and Central Bank Digital Currencies (CBDCs) – to circulate freely across devices, carriers, and countries. This makes money mobile, global and accessible all around the world.
Similar to other blockchains, to participate in DeFi on Celo, you also need the native token of the corresponding chain for a fee, also known as "gas fee" (the fee you need to pay to the network).
The gas fee gwei level on the Celo is currently around 0.000014 CELO/transaction. So, to make transactions, only 1 CELO (~$1.4) can go a long way.
Step 1: Prepare tokens
Since the majority of CEXs currently support CELO, you have complete freedom to choose where to make your CELO purchase(s). The most popular Celo-supported exchanges include Binance, Gate.io, KuCoin, and OKEX.
In the following section, I'll go into details about which exchange you should use to purchase CELO.
Step 2: Prepare your CELO wallet to store tokens
It is necessary to have a non-custodial wallet after you buy tokens on CEX to store tokens and interact with DeFi. At this time, many different wallets, including the Coin98 Super App, can store CELO coins.
First, you should have an Celo Wallet to store your CELO, this article will be usefull for you: How to create & use Celo Wallet
Following these simple steps, you can store CELO and other Celo tokens.
- Step 1: Click on the Celo wallet on the main screen.
- Step 2: Select "Receive."
- Step 3: Copy the wallet address or scan the QR code address and send your assets to this address.
Step 3: Transfer tokens from other Blockchains to the Celo Blockchain
After buying CELO and having a Celo wallet (Celo), you can participate in events or skin in the game in the Celo Ecosystem, such as joining lending, yield farming or staking activities on this chain.
Typically, there are two methods for transferring tokens to the Celo Blockchain.
- Option 1: Buy CELO Coins from CEXs and transfer them to a Celo-supported wallet.
- Option 2: Convert tokens from other blockchains to the Celo blockchain using the Cross-chain Bridge, then trade on DEXs.
To make it easier for you to visualize, I'll walk you through the process for the two methods listed above.
Option 1: Buy tokens on CEXs & withdraw to a Celo Wallet
Transfer and withdrawal fees will vary depending on the exchange. If you want to transfer your assets, you should pick the CEX that is most convenient for you to use. I'll recommend a few popular exchanges here, such as Binance, KuCoin, Huobi, Gate, etc.
To begin with, you'll need USDT or USDC stablecoins in order to purchase. US dollars (USD) or other currencies in your country can be used to buy USDT if you don't have any stablecoin yet.
Step 1: Login to the Binance Mobile App. I recommend reading this “How to use Binance'' article.
Step 2: Choose “P2P Trading” in your Binance Homepage.
Step 3: In this step, you will see:
- Number 2 indicates which fiat currency you’re using to buy USDT
- Number 3 indicates which token you want to buy (e.g. USDT, BTC, BUSD, etc.)
- Number 4 displays a list of sellers who will sell you USDT in exchange for your fiat currency.
After you've decided on your preferred sellers, simply follow Binance's instructions to complete the transaction (Remember to read the instructions carefully).
Now that you already have USDT, you can purchase CELO directly from any exchange, such as Binance, Kucoin, Gate, etc. and transfer the tokens to the Coin98 Wallet by doing as follows:
Step 1: On Binance exchange, use USDT to purchase CELO.
Step 2: Transfer CELO to the Celo wallet by typing in your Coin98 wallet address.
Option 2: Use Cross-chain Bridges to transfer tokens to Celo
As Celo is also a well-known blockchain, many bridges on the market currently support asset transfers to and from the Celo blockchain. You are free to select any bridge below that makes you feel at ease. I'll suggest a few bridges here:
- Moss Earth: Moss Earth introduces cross-chain token bridging experience between the Ethereum and Celo blockchains. The bridge currently supports 4 types of token which are cMCO2, cUSD, cUSDC, cUSDT. Moss Earth does not support CELO at all.
- Optics Bridge: Optics is integrated on Mobius Money - an AMM DEX for stablecoin on the Celo ecosystem. Mobius currently supports 3 types of tokens which are USDC, WBTC, WETH from Ethereum to Celo and vice versa.
To transfer Celo Tokens from Ethereum to Celo, do as below:
Note: The transferring process of Moss Earth and Mobius Bridge is similar.
Step 1: Select Ethereum as the From chain, then select Celo as the To chain.
Step 2: Choose a token and the trading amount from Ethereum to Celo; only WETH, WBTC, USDC are supported and CELO is not. (This means that you must first hold some CELO in your wallet as the trading fee or the transactions won’t go through).
Step 3: Type in the wallet address where you want the token to be sent to, then choose Sent and Approve the transaction.
Step 4: Add tokens to Coin98 Super App
Because CELO is the native token of the Celo blockchain, it will be displayed by default in multi-chain wallets.
If you need to add another token to this multichain wallet, follow these simple steps:
Step 1: On the homepage, select More → Custom Tokens.
Step 2: Fill in the following information:
- Select Blockchain.
- Enter Contract Address (the contract address of the token).
- Token name.
You can check this information on block explorers.
Users only need to select Blockchain and enter the Contract Address of the token you want to add to the wallet. The remaining data will automatically be updated after the user enters the correct contract address.
In case the system fails to extract the data, you can manually fill in the remaining data into the required cells.
To finish adding tokens, select “Create” and you're done.
Step 5: Transfer Celo tokens (Celo) from Coin98 Super App.
To transfer tokens from a decentralized wallet to another, follow these simple steps.
I'll show you how to transfer CELO from your mobile wallet.
- Step 1: Click the Celo wallet.
- Step 2: Choose Send.
- Step 3: Select the token, the number of tokens you want to send & the wallet address to send to. Adjust the Gas fee slider to suit your needs → Slide the Send bar to confirm.
In addition, you can also go to the Send section in the main interface, then select the Celo wallet you want to send from.
- The gas fee for each transaction is paid with CELO, approximately 0.000014 CELO.
- The default gas fee on the Coin98 Super App has been set at the standard rate that offers the most optimized speed at a reasonable cost.
Skin in the game with Celo blockchain
The Celo ecosystem is expected to have a thrilling year in 2022 as the crypto market currently attracts a huge number of users to fill in the gaps from missing sectors of dApps. Besides, Celo has provided an incentive program which is valued at 100 million dollars to boost the ecosystem’s development.
Keeping an eye on this ecosystem will give you many opportunities to skin in Celo, as you will be updated with the most recent significant changes in each network.
Learn more: Celo Ecosystem Overview
Lending is a money market that allows you to deposit your assets in order to receive interest. The most prominent lending protocol on Celo is Moola Market.
Moola, however, only supports 3 types of assets which are CELO, cUSD, cEUR with a low saving return. For that reason, Moola is primarily used for lending CELO to farm in other protocols instead of buying this token.
Staking is a process that involves committing your crypto assets to support a blockchain network and confirm transactions.
Currently, you can stake your CELO to earn passive income with an APY of 5.1%/year and receive sCELO (saving CELO) in return. The value of sCELO will increase day by day and this amount of sCELO represents the reward when users unstake.
Farming is a method of providing liquidity for AMMs in order to receive rewards. Farming produces much higher profits than lending and staking, but there is a risk of impermanent loss.
There are 2 prominent farming protocols which are:
- Ubeswap: AMM for Celo native token.
- Mobius Money: AMM for stable assets.
If you're interested in learning more about the Celo blockchain and the investment opportunities it offers, I recommend checking out this article. Hopefully, this will be beneficial to you!
I've shown you how to transfer coins to the Celo blockchain in order to skin in the game.
Hopefully, after reading this article, you will have a better understanding of the DeFi market and find the best ways to play to maximize your profits.