DEFI FOR BEGINNERS 2022

<h2 class=ql-align-justify><strong>Decentralized finance or DeFi is a means for making financial commodities available to the general public over a decentralized blockchain network. </strong></h2><p class=ql-align-justify><br></p><p class=ql-align-justify><strong>As a result rather than going via intermediaries like brokerages or banks it is open to anybody. In addition unlike a bank or brokerage account DeFi does not require a Social Security number government-issued ID or proof of address. Instead DeFi refers to a system in which sellers buyers lenders and borrowers connect peer to peer or with a strictly software-based intermediary rather than a firm or organization conducting a transaction using software developed on blockchains.</strong></p><p class=ql-align-justify><br></p><p class=ql-align-justify><strong>To achieve the goal of decentralization various protocols and technologies are employed. A decentralized system for instance might be made up of blockchain open-source technologies and proprietary software. Smart contracts make these financial products possible which automate agreement terms between sellers and buyers or borrowers and lenders. DeFi solutions are intended to eliminate intermediaries between transacting parties regardless of the technology or platform used.</strong></p><p class=ql-align-justify><br></p><p class=ql-align-justify><strong>Although the amount of money and trading tokens trapped in smart contracts in its ecosystem has been constantly increasing DeFi is still a young industry with a nascent infrastructure. As a result DeFi is subject to little or no regulation or control.</strong></p><h2><br></h2>