What is DeFi?
Mar 30, 2023
DeFi is short for the term “decentralized finance” and it refers to financial products that are not governed by one centralized organization like a bank. Data and transactions in the DeFi economy are held on multiple ledger databases (or blockchains) vs being held at one institution. DeFi products allow individuals to interact directly with each other via smart contracts on chain to meet financial needs. The goal is to reduce fees, delays, and barriers to entry associated with centralized traditional finance. DeFi customers also consistently maintain full control over their funds and do not rely on a central authority for custody. Examples of DeFi can be peer-to-peer lending and borrowing, trading on decentralized exchanges, nft marketplaces, and more.
Metallicus offers many products and services that allow our customers to engage in decentralized finance and maintain control of their own funds. You can learn more about those in the following Discover articles.