Before I start, I clarify that I make this post or tutorial to safeguard all the information I understand about the "Farcaster" protocol, on the other hand, I created a community here in "Paragraph" with the intention of providing all my subscribers all relevant information about it, also, decided to start detailing the main "Social Tokens" that are part of this protocol, however, to not make a post so long and tedious, I will divide it into several parts so that the information is much easier to digest. and understand. In this opportunity, I will start with the most famous and oldest of all according to my research, and this is the $DEGEN.

Before I begin, I will first define in a few words what "Farcaster" is:

What is Farcaster?

In elementary words and thoughts for those who still have no idea what "Web3" is, but, want to start exploring it, Farcaster is a decentralized social protocol that focuses on the creation of open-source applications that encourage social interactions, just as you interact in "Twitter now X", Facebook, Instagram and the rest of traditional networks, "Farcaster" comes to implement basically the same, but in a free and uncensored environment.

But, there are words that I would like to highlight from this concept, before moving on to the next point, and they are important to see the difference that exists between traditional social networks and those created in "Web3" in a decentralized way:

• Decentralized: This word I mentioned in the previous concept and what it means is that there is no central entity (Person, Government, or CEO) that can make all the decisions related to the protocol, this means that being decentralized, it is managed and developed by its community, where the account is yours alone, no one can take it away from you, and you have total control over it.

• Open Source: When we talk about a protocol or application being open source, it refers to those who know about development, basically those who build applications and tools based on code, it means that any developer can create an application in this technology, in this case anyone with knowledge of this nature, can easily develop what is called a Dapp in Farcaster.

With that, of course, we move on to the main topic of this post, which is to define and clarify how the main social tokens work in the Farcaster ecosystem:

Token $DEGEN

$DEGEN is one of the first tokens created and launched in the "Farcaster" protocol to reward users and content creators within the platform, basically and simply this is how it works, there is nothing else behind it, now well, its birth was this year in January 2024 with a channel within the "Warpcast" application that was where it originated, an important point for those who want to know its origin, but how does it work?

• Operation: The way in which this token is used within the ecosystem, is to give "Tips", this is how the creators of "Quality" content that provide value with their publications are rewarded, the way in which the tips are given is through a comment that is left in the publication as follows (100 $degen), in short, first the amount to be delivered to the creator, and then the $ symbol with the name of the token.

• Access to tips: Basically to be able to access to reward the content of others, and you can get what is called "Allowance", what you need is to get 10000 $DEGEN as a minimum, which you can buy in the exchanges where it is listed as "Bybit or OKX" and/or other means of which I will talk about later, after having acquired them, you must go to https://www. degen.tips/airdrop2/current and block them in the "Vault" option for 3 months, with this you will have the possibility of obtaining an allocation of the fund based on the percentage you have of it, to give me a better understanding, if, for example, those 10000 $DEGEN represent 2% of the fund, you will receive the same percentage as an allocation to grant tips.

Other important aspects of $DEGEN

In the previous section, I basically covered the way in which "Social" can be used to reward content creators, however, and to end this post, I will mention the other ways in which we can earn $DEGEN and get returns, but, these options mostly require more investment, however, in other posts, I will detail more about this:

• Liquidity Funds: $DEGEN currently has 2 liquidity funds, one is in "Uniswap" and the other in "Aerodrome Finance".

• Trading and/or speculation: Basically it is a pure and hard investment, where technical and fundamental analysis is performed in order to "Buy" cheap and sell expensive in SPOT-type markets, which are the easiest to work with and have less risk.

• Staking: I did not get much information on this, however, it seems to me that there are indeed platforms on the "Blockchain Base" where we can place our DEGENs in "Staking", but, I will not mention any, I will research specifically which ones and bring them to you.

Final considerations

I hope this post will be very helpful for those who are starting in the "Farcaster" protocol and are wondering what is $DEGEN and how to earn it, but, this is an opener, I will provide more information later on how to earn it in other ways and with other games, since, many other projects created in "Farcaster" have adopted $DEGEN as their native currency, so, not only in a social way you can earn it.

To know more, don't forget to follow me on "Warpcast" as @lenonmc21 or by clicking on the following link HERE