DeFi (Decentralized Finance)
Glossary
DeFi
DeFi (Decentralized Finance)
Financial apps that run on public blockchains without intermediaries.
Definition
In depth
DeFi is an umbrella term for open, permissionless financial protocols — lending, borrowing, trading, derivatives, insurance — built on smart contracts. Anyone with a wallet can interact, with no KYC or middleman.
Related
Related terms
DEX (Decentralized Exchange)
An exchange that runs entirely on smart contracts, with no central operator.
AMM (Automated Market Maker)
Pricing model used by DEXs where pool reserves set the price.
Yield farming
Earning rewards by supplying liquidity or staking in DeFi protocols.
Smart contract
A self-executing program deployed on a blockchain.
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