ARTICLE · 06 FEBRUARY 2023

Decentralized Finance (DeFi)

Nordic Law

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It is time for the fourth installment of our 8-part series covering different crypto phenomena, and this time we dive into one of the most revolutionary topics in the financial world – decentralized finance, DeFi.

FinlandTechnology

It is time for the fourth installment of our 8-part series covering different crypto phenomena, and this time we dive into one of the most revolutionary topics in the financial world – decentralized finance, DeFi.

In this article, we will guide you through the basics of DeFi as a phenomenon, what possibilities it offers and what drawbacks DeFi systems have. This is a long one, so strap in for a thrilling journey into decentralized finance.

What is DeFi?

The DeFi system can be characterized as a collection of finance applications that use blockchain technology and seek to democratize finance in a way that replaces traditional financial institutions and intermediaries with (automated) smart contracts on a blockchain.

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