What is DeFi

DeFi is a relatively new financial system built on the principles of decentralization, transparency, and interoperability using blockchain technology. DeFi is important because it has the potential to create a more inclusive, transparent, and efficient financial system that can benefit people around the world. The history of DeFi can be traced back to the creation of Bitcoin, and has evolved over time to include a wide range of financial products and services. DeFi protocols offer a wide range of financial products and services, including lending, borrowing, trading, and asset management that are often designed to be more accessible and affordable than those offered by traditional financial institutions. Despite the advantages of DeFi, there are also challenges and risks that need to be considered, such as security risks and regulatory risks.