Main Page

From DeFi Wiki
Jump to navigation Jump to search

Welcome to DeFi Wiki

DeFi Wiki is a public resource for the community of blockchain users, developers, and businesses as well as anyone interested in decentralized finance.

You can contribute your article to the Wiki!


Definition of DeFi

DeFi (short for Decentralized Finance) is a blanket term used to describe the industry of financial services – payments, lending, trading and more – provided through decentralized platforms on public blockchains. As opposed to highly centralized traditional financial institutions, these applications (known as dApps) are not controlled by a single entity, which enables for higher transparency, safety and cost reduction. In February 2019, the DeFi industry exceeded $1 billion in assets locked in DeFi protocols by users.

Decentralized finance applications are typically divided into three categories – stablecoins (e.g., MakerDAO, Synthetix, EOSDT), lending (e.g., Compound Finance, Aave), exchanges (e.g., 0x, AirSwap, Bancor) – the majority of the services being interconnected and interoperable on the protocol level. The core features inherent to DeFi as a financial infrastructure are determined by the underlying blockchain technology.

Comparative analysis of conventional and DeFi systems

Criteria Conventional systems Decentralized Finance
Trust source Financial institutions Public blockchains
Transparency Hidden data and content from clients Open and transparent
Flexibility Limited innovations due to licensing and authorization Public, decentralized
Intermediaries Multiple Zero (p2p)

Top-10 DeFi projects by total locked value

# Project Name Platform Category Locked Value 24h%

Interesting Articles