DeFi vs CeFi : A Quick Comparison
DeFi:
• Funds Custody: You have full control over your funds.
• Services: DeFi offers borrowing, lending, payments, and trading.
• Personal Information: DeFi often requires proof of work and operates on a pluggable framework.
• Security: Security depends on the technology you use.
• Market Cap: DeFi’s market cap is around $16 billion*.
• Customer Service: Generally, not applicable in DeFi.
CeFi:
• Funds Custody: Your funds are held outside your direct control.
• Services: CeFi covers trading, borrowing, fiat-to-crypto, payments, and lending.
• Personal Information: CeFi may ask for personal information.
• Security: Centralized exchanges are responsible for security.
• Market Cap: CeFi has a market cap of about $324 billion*.
• Customer Service: Provided by major exchanges.
In a nutshell, DeFi gives you control over your assets, focusing on technology-driven security, while CeFi relies on centralized exchanges for security and offers a broader range of services with customer support.
*Market cap figures are approximations and subject to change.#DeFiCeFi #DeFi #DeFiChallenge