What to know about decentralized finance?
Decentralized finance, or “DeFi,” is an emerging digital financial infrastructure that theoretically eliminates the need for a central bank or government agency to approve financial transactions. Considered by many to be an umbrella term for a new wave of innovation, DeFi is deeply tied to blockchain. Blockchain allows all computers (or nodes) on a network to hold a copy of transaction history. The idea is that no entity has control or can modify this transaction register.