Blockchain technology is redefining transparency and security in the transaction of finance, therefore opening the doors to Decentralized Finance or DeFi.
Key Innovations
• Smart Contracts: The automated contracts without a middleman reduce the expenses.
• Decentralized Identity (DID): Individuals' control over their secure digital identity.
• Self-Sovereign Identity (SSI): Enables users to control their data on blockchain platforms.
Impact
Blockchain's inherent transparency enhances fraud detection and identity management, lowering operational costs while increasing reliability.
Value Locked in DeFi Platforms:
Year Total Value Locked (USD Billion)
2020 10
2023 52
2027 (Projected) 150