Decentralized finance, or DeFi, is a rapidly growing sector within the cryptocurrency and blockchain space. It refers to financial services that are built on decentralized networks, rather than traditional centralized institutions like banks. The goal of DeFi is to create an open, permissionless, and transparent financial system that is accessible to anyone with an internet connection.

One of the key features of DeFi is its ability to remove intermediaries from financial transactions, allowing for peer-to-peer transactions that are faster and more secure. This has the potential to greatly reduce transaction costs and increase financial inclusion for people who may not have access to traditional banking services.

Some popular DeFi applications include decentralized exchanges, lending platforms, and synthetic asset trading. These platforms operate using smart contracts, which are self-executing contracts with the terms of the agreement between buyer and seller directly written into code.

Overall, DeFi is reshaping the financial landscape, offering new possibilities for financial services that are more efficient and accessible to a global audience.#25#