Decentralized Finance
Decentralized Finance (DeFi) is a financial ecosystem built on blockchain technology that aims to recreate traditional financial systems—such as lending, borrowing, and trading—in a decentralized, permissionless, and transparent manner. It leverages smart contracts on platforms like Ethereum to automate financial services without intermediaries like banks or brokers, enabling users to interact directly with protocols through decentralized applications (dApps).
Developers should learn DeFi to build innovative financial applications that offer greater accessibility, security, and efficiency compared to traditional finance, particularly for use cases like peer-to-peer lending, decentralized exchanges, and yield farming. It is essential for those working in blockchain, fintech, or web3 projects, as it represents a rapidly growing sector with high demand for smart contract development and dApp integration.