Decentralized Finance, or DeFi, is an ecosystem of financial applications built on blockchain technology that operates without traditional intermediaries like banks or brokerages. This guide explains how DeFi uses smart contracts to provide global, permissionless access to lending, trading, and borrowing.
A decentralized exchange (DEX) is a peer-to-peer marketplace where users trade cryptocurrencies directly without a central intermediary. By utilizing smart contracts, these platforms provide a transparent and non-custodial alternative to traditional financial services.
A cryptocurrency exchange is a digital marketplace where buyers and sellers meet to trade cryptocurrencies. These platforms are the primary gateway for investors entering the digital asset market.