What is DeFi?

As you dive deeper into Web3 you'll hear many terms used quite often, DeFi is likely to be the most common and important concept to start your journey.

DeFi, short for Decentralized Finance, is a method to revolutionize traditional finance systems by leveraging blockchain technology and smart contracts and creating a suite of tools and financial services for ANYONE to use. Unlike traditional finance, which relies on centralized institutions like banks, DeFi operates on decentralized networks and thus is not bound by middlemen and intermediaries.

Loans, exchanges, and custody all being deployed and governed by the communities and developers alike. The biggest differences between DeFi and TradFi are intermediary-free, permissionless, and trustless.