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Decentralized Finance (DeFi)

  

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Decentralized finance (DeFi) is a financial technology (FinTech) based on secure distributed ledgers similar to those used by cryptocurrencies.

DeFi eliminates the fees that banks and other financial companies charge for using their services. Individuals hold money in a secure digital wallet, can transfer funds in minutes, and anyone with an internet connection can use DeFi.

  

 
 

Decentralized finance (DeFi) removes third parties and centralized institutions from financial transactions. All financial transactions are overseen in centralized finance, from loan applications to a local bank's services.

The components of DeFi are stablecoins, software, and hardware that enables the development of applications.

  

 
 

Decentralized finance eliminates intermediaries by allowing people, merchants, and businesses to conduct financial transactions through emerging technology. Through peer-to-peer financial networks, DeFi uses security protocols, connectivity, software, and hardware advancements.

Decentralized finance uses the Blockchain technology that cryptocurrencies use. A blockchain is a distributed and secured database or ledger. Applications called dApps are used to handle transactions and run the blockchain.

  

Financial Innovation

Innovative Financial Services

Disruptive Financial Services

Banking as a Service (BaaS)

Robotic Process Automation (RPA)

Impact Investment

  

 
 

Uses of DeFi

Peer-to-peer (P2P) financial transactions are one of the core premises behind DeFi. A P2P DeFi transaction is where two parties agree to exchange cryptocurrency for goods or services without a third party involved.

Advantages  of DeFi

Transfer capital around the world; Lower transaction fees; Investor's ability to generate income; High level of security.