Advantages of Decentralized Finance Protocols Creating More Applications

Today, cryptocurrencies have developed into a trillion-dollar ecosystem that is making a lot of impacts on the global financial system. Cryptocurrencies have a long history of innovation, dating back to the 1980s with the introduction of encryption. Since then, several events have occurred that have changed the crypto world, with Bitcoin and Decentralized Finance (DeFi) being the most significant. Even though Bitcoin has expanded significantly over the last 12 years, financial services have been reluctant to evolve. This is primarily due to Bitcoin’s insecurity and the fact that few people use it. In addition, because Bitcoin’s price fluctuates so dramatically, most financial institutions don’t consider investing in it. As a result, Bitcoin has become a poor asset to invest in. Decentralized finance (DeFi) is a current trend in the cryptocurrency ecosystem that is making a lot of impacts these days. If you don’t know much about DeFi, let’s dive into it and learn more about it. What is DeFi? DeFi is an acronym that stands for “decentralized finance.” It is a term for a diverse set of public blockchain apps and projects that aspire to transform the way traditional finance operates. DeFi refers to financial applications that use smart contracts built on blockchain technology. Smart contracts can carry out agreements automatically and without the involvement of a middleman. Anyone with an internet connection can access them. DeFi ...