DeFi protocols

DeFi (Decentralized Finance) protocols are digital financial services built on blockchain technology that operate without traditional banks or intermediaries. They enable users to lend, borrow, trade, earn interest, and hedge assets directly with each other through smart contracts—automated agreements that execute when conditions are met. This setup offers greater transparency, control over assets, and access to financial services globally, often at lower costs. Essentially, DeFi protocols create a decentralized financial ecosystem that is open, permissionless, and automated, transforming traditional banking functions into blockchain-based solutions accessible to anyone with an internet connection.