Decentralized finance, or DeFi, is a growing movement that is reshaping the financial industry. Unlike traditional banking systems, DeFi operates on blockchain technology, offering a decentralized and open-source platform for financial services.

One of the key aspects of DeFi is its use of smart contracts, which are self-executing contracts with the terms of the agreement directly written into code. This eliminates the need for intermediaries, such as banks or lawyers, streamlining processes and reducing costs.

DeFi offers a range of financial services, including lending, borrowing, trading, and asset management, all without the need for a centralized authority. Users can interact with these platforms using cryptocurrency, such as Bitcoin or Ethereum, making transactions faster, cheaper, and more transparent.

As DeFi continues to gain popularity, it is challenging traditional financial institutions and paving the way for a more inclusive and accessible financial system for everyone.#25#