Decentralized Finance (DeFi)
Understand decentralized finance, its components, and how it's revolutionizing traditional financial services.
70 min•By Priygop Team•Last updated: Feb 2026
What is DeFi?
Decentralized Finance (DeFi) is a blockchain-based form of finance that doesn't rely on central financial intermediaries such as brokerages, exchanges, or banks. Instead, it uses smart contracts on blockchains.
DeFi Components
- Lending Platforms: Borrow and lend crypto assets
- Decentralized Exchanges (DEXs): Trade without intermediaries
- Yield Farming: Earn rewards by providing liquidity
- Stablecoins: Price-stable cryptocurrencies
- Insurance: Protect against smart contract risks