What is DeFi? A beginner’s guide

Decentralized Finance (DeFi) radically changes how we distribute and use financial instruments.

Built on blockchain technology, it decentralizes the financial network, so no single entity or person can control the public’s money or banks

In other words, it removes the middleman from all deals and gives users lesser control over their money and deals.

The deals run on smart contracts, which are executable contracts that run on automated protocols.

No one can change them once the rules of the smart contracts are set. DeFi reduces the functional pitfalls in financial deals.