Decentralized finance, or DeFi, refers to a new form of financial services that is built on blockchain technology. Unlike traditional finance systems that are centralized and controlled by institutions, DeFi is decentralized, meaning there is no single point of control.

One of the key features of DeFi is its ability to provide financial services to anyone with an internet connection, without the need for intermediaries such as banks. With DeFi, individuals can access services such as lending, borrowing, trading, and even insurance, all without the need for a traditional financial institution.

DeFi is made possible through the use of smart contracts, which are self-executing contracts with the terms of the agreement directly written into code. These smart contracts enable transactions to be carried out automatically, securely, and without the need for a trusted third party.

The growth of DeFi has been explosive in recent years, with billions of dollars now locked in various DeFi protocols. As the technology continues to mature and evolve, DeFi has the potential to democratize finance and provide financial services to the billions of people around the world who are currently underserved by traditional banking systems.#25#