🏦 “What is DeFi?” Understand it as banking without… a bank!
Have you ever used a banking app to save, transfer money, or borrow money, right?
All of those things require an intermediary, usually a bank or financial institution.
DeFi – short for Decentralized Finance is decentralized finance.
This means no need for banks, no need for a third party, all financial transactions are run by code and smart contracts.
💡 Simply put:
DeFi is like you:
Saving money but not sending it to anyone, you deposit into the system.
Borrowing money but no one approves, you just need to have sufficient collateral.
Exchanging money (swap) without an exchange or intermediary broker.
⚠️ But also remember:
Since there is no one in between, you must take 100% responsibility.
Sent to the wrong wallet? Lost forever.
Clicked on a scam link? Lost all tokens.
✅ In summary:
DeFi is a way of “doing finance” without a bank, everything operates automatically on the blockchain.
