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DeFiD

DeFi

Decentralized Finance (DeFi) is an ecosystem of financial applications built on blockchain networks that operate without traditional intermediaries like banks or brokers. DeFi protocols enable lending, borrowing, trading, and earning yield through smart contracts, giving users direct control over their funds. The total value locked (TVL) in DeFi protocols is a key metric that tracks the growth and health of the ecosystem.

Example

She earned 5% APY on her stablecoins by depositing them into a DeFi lending protocol, bypassing traditional banks entirely.