Banks are holding your money hostage

DeFi won’t negotiate with kidnappers

Here is a real-life example of banks legally stealing.

A friend of mine, living in Europe, owned some stocks in Brazil. However, he needed money, so he sold those stocks.

So far, so good.

But get this, the bank demanded a whopping 30% fee of the total amount; otherwise, the bank would cancel the transfer. Yes, that’s right, not three but thirty percent, to get to his hard-earned money. DeFi is aiming to solve this type of monopolization.

What is Decentralized Finance?

DeFi encompasses financial applications that have been developed on top of blockchains. This furthers the main goal of blockchain technology which is decentralization.

Essentially, decentralization means eliminating centralized middlemen (banks), which enjoy a monopoly on money.

Decentralization enables secure protocols created on top of blockchains with public ledgers. Immutability is another excellent feature.

If bitcoin was disintermediation of payments, DeFi is disintermediation of all other financial services - Edmund Lowell