Short for decentralized finance, DeFi is an umbrella term for peer-to-peer financial services on public blockchains, primarily Ethereum.
DeFi (or “decentralized finance”) is an umbrella term for financial services on public blockchains, primarily Ethereum. With DeFi, you can do most of the things that banks support — earn interest, borrow, lend, buy insurance, trade derivatives, trade assets, and more — but it’s faster and doesn’t require paperwork or a third party.
What are the benefits?
Open: You don’t need to apply for anything or “open” an account. You just get access by creating a wallet.
Pseudonymous: You don’t need to provide your name, email address, or any personal information.
Flexible: You can move your assets anywhere at any time, without asking for permission, waiting for long transfers to finish, and paying expensive fees.
Fast: Interest Rates and rewards often update rapidly (as quickly as every 15 seconds), and can be significantly higher than traditional Wall Street.
Transparent: Everyone involved can see the full set of transactions (private corporations rarely grant that kind of transparency)
These notes are according to What is Defi from Coinbase.
boobo94
commented
2 years ago
title: What is Defi, bro? summary: what is defi, learn with me how it works and what to do categories: research tags: defi etherium web3 date: 2021-11-01 09:09:09 +0000 cover: https://images.ctfassets.net/q5ulk4bp65r7/2lrWtXLcleZPbsnzZnEeLB/bbd5a35075619f07e083fce5fdbf15f9/Learn_Illustration_What_is_DeFi.jpg?w=560&fm=webp layout: post
What is Defi?
Definition
Short for decentralized finance, DeFi is an umbrella term for peer-to-peer financial services on public blockchains, primarily Ethereum.
DeFi (or “decentralized finance”) is an umbrella term for financial services on public blockchains, primarily Ethereum. With DeFi, you can do most of the things that banks support — earn interest, borrow, lend, buy insurance, trade derivatives, trade assets, and more — but it’s faster and doesn’t require paperwork or a third party.
What are the benefits?
These notes are according to What is Defi from Coinbase.