# defi
DeFi, or Decentralized Finance, uses blockchain to create a financial system where you can lend, borrow, save, and earn interest on your money directly over the internet, without needing banks or other middlemen. It operates with cryptocurrencies and smart contracts, making transactions automatic and secure. DeFi gives you more control over your finances and can offer higher returns, but it comes with higher risks due to its volatility and lack of regulation.
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