Learn with me about DeFi, short for "decentralized finance." DeFi is an emerging financial system that operates on blockchain technology, primarily Ethereum. This system allows users to interact with financial services such as loans, investments, and asset trading without the need for traditional intermediaries such as banks²[2].
Key DeFi Features:
- Accessibility: Anyone with an internet connection can access DeFi financial services.
- Transparency: All transactions are publicly visible on the blockchain, providing a level of transparency not found in the traditional financial system.
- Autonomy: Users have full control over their assets and can interact directly with financial services without the need for third parties
- Innovation: DeFi encourages the creation of new financial products and services thanks to its open and programmable nature.
In short, DeFi represents an alternative to traditional finance, offering a more open, efficient and accessible system for everyone. However, as with any emerging technology, it also carries risks and challenges that users should carefully consider before participating.