Decentralized finance—better known as DeFi—refers to the shift from traditional, centralized financial systems to peer-to-peer finance enabled by decentralized technologies built on the Ethereum blockchain. From lending and borrowing platforms to stablecoins and tokenized BTC, the DeFi ecosystem has launched an expansive network of integrated protocols and financial instruments.
Now with over $13 billion worth of value locked in Ethereum smart contracts, decentralized finance has emerged as the most active sector in the blockchain space, with a wide range of use cases for individuals, developers, and institutions. .
NOTE: WARNING: Investing in DeFi protocols can be a high-risk endeavor. Ethereum-based DeFi protocols are particularly risky since they depend on Ethereum itself, which is still in its early stages and carries with it a number of risks and uncertainties. Investing in DeFi should only be done after thorough research and with a clear understanding of the associated risks.
Ethereum is the undisputed leader of the DeFi space. With over $13 billion worth of value locked in Ethereum smart contracts, decentralized finance has emerged as the most active sector in the blockchain space.
A wide range of use cases for individuals, developers, and institutions have been launched on Ethereum, from lending and borrowing platforms to stablecoins and tokenized BTC. The expansive network of integrated protocols and financial instruments that make up the DeFi ecosystem would not be possible without Ethereum.
While other blockchains are beginning to launch their own versions of DeFi protocols, it is clear that Ethereum will continue to dominate the space for the foreseeable future. The first mover advantage, comprehensive tooling and infrastructure, and strong developer community all give Ethereum a significant lead over its competitors.
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In simple terms, leverage is how much you can control with how little. In the world of cryptocurrency, Ethereum has a lot of leverage. As the second largest cryptocurrency by market capitalization, Ethereum boasts a $27.4 billion market cap as of June 2018.
Ethereum is a decentralized platform that runs smart contracts: applications that run exactly as programmed without any possibility of fraud or third party interference. Ethereum is a programmable blockchain. It allows users to create their own decentralized applications (dapps) on the Ethereum blockchain.
Ethereum has been called a decentralized world computer, and is well on its way to becoming just that. It is a platform that allows developers to create decentralized applications (dApps) on top of it. dApps are similar to regular apps, but they are built on a decentralized network, which means there is no central point of control or failure.
Ethereum is a decentralized platform that runs smart contracts: applications that run exactly as programmed without any possibility of fraud or third party interference. Ethereum is used to build decentralized applications (dapps) on its platform. The most popular dapp built on Ethereum is CryptoKitties, a game that allows users to breed and trade digital cats.
Ethereum is a decentralized platform that runs smart contracts: applications that run exactly as programmed without any possibility of fraud or third party interference. Ethereum is a public blockchain-based distributed computing platform, featuring smart contract (scripting) functionality. It provides a decentralized virtual machine, the Ethereum Virtual Machine (EVM), which can execute scripts using an international network of public nodes.
Ethereum DeFi is a decentralized finance protocol that runs on the Ethereum blockchain. DeFi is an abbreviation for “decentralized finance.
” Ethereum DeFi protocols enable anyone to access financial services that are traditionally only available through centralized institutions like banks and brokerages. Ethereum DeFi protocols are open source and permissionless, meaning that anyone can use them without needing to obtain approval from a central authority.
