What is DeFi (Decentralized Finance)? Explained Simply

Introduction:
DeFi, or decentralized finance, is changing the way we think about money. It allows financial services without banks or intermediaries. Let’s break it down simply.

🔹 What is DeFi?

DeFi uses blockchain to offer services like lending, borrowing, and trading without traditional banks.

🔹 Benefits of DeFi

• No middleman – cheaper and faster.
• Open to anyone with an internet connection.
• Earn interest through staking and farming.

🔹 Risks of DeFi

• High volatility.
• Smart contract bugs.
• Lack of regulations.

Conclusion:
DeFi is an exciting innovation but comes with risks. Always research before investing.