Exercise 4: Smart Contracts and Standards Assessment

⏰ Time Investment: 30-45 minutes 🎯 Goal: Understand smart contracts and token standards

📚 Required Reading Integration 📖 Primary: Lesson 4: Smart Contracts and Token Standards

🔍 Phase 1: Knowledge Check (15 minutes)

1. What is the vending machine analogy for smart contracts?

• Your answer: _________________________________

2. What is the EVM?

• Your answer: _________________________________

3. What is the difference between ERC-20 and ERC-721?

• Your answer: _________________________________

4. What is composability?

• Your answer: _________________________________

5. Why do transactions cost gas?

• Your answer: _________________________________

📊 Phase 2: Use Case Analysis (15 minutes)

Identify which token standard (ERC-20 or ERC-721) would be used for:

• Stablecoins

• Governance tokens

• Uniswap V3 LP positions

• Art NFTs

• DeFi protocol tokens

💡 Phase 3: Composability Exercise (15 minutes)

Design a DeFi workflow using composability:

• Start with USDC

• Show how it can flow through multiple protocols

• Explain the benefits of composability