How Crypto Is Revolutionizing Finance
By Dr. Niklas J Decentralized finance (DeFi) refers to the provision of traditional financial services without the involvement of centralized players such as banks and insurance companies. Instead, DeFi uses smart contracts: computer programs running on decentralized blockchains. Unlike human actors, who might occasionally make errors, smart contracts will always work the way they have been programmed to do. While this might sound strange to those who are not well-versed in crypto, the potential for disruption in this area is significant. A few years ago, The Economist stated that DeFi has the potential to completely rewire how the financial system works. I absolutely agree and hope to persuade you, too. DeFi’s numerous advantages Compared to traditional financial services, DeFi offers multiple advantages. Firstly, access to DeFi is in general given on a pseudonymous basis, without a user having to comply with onerous Anti-Money Laundering (AML) requirements and without having to fill…
