What Is DeFi? All You Need to Know

Weary of paying hefty transfer charges, financial institutions delaying your transactions, or governments monitoring your financial activities?

Then, DeFi to the rescue!

At a glance, DeFi is an emerging financial blockchain-based technology that aims to create an open and transparent platform for people to transfer assets without the interference of third parties.

And with $100 billion worth of investment, DeFi is one of the biggest things in crypto that neither you nor Wall Street can shy away from.

All the deets in a bit.

Source: Karolina Grabowska

So what is DeFi?

DeFi, also known as decentralized finance, is a blockchain-based technology used to develop financial applications and cryptocurrencies.

It’s an alternative form of traditional banking and seeks to disrupt traditional financial services. So where you’d usually open a savings account or borrow a loan from a bank or any other centralized financial institution, DeFi, instead, allows you to perform these financial transactions on a public blockchain network (mostly Ethereum blockchain).

These transactions — saving, borrowing, and lending — are made possible through decentralized apps (DApps) built on the…