DeFi will dethrone traditional financial institutions.

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Avatar for alberdioni8406
4 years ago

Something about DeFi (decentralized finances) that many people need to realize is that smart contract protocols have been made to empower people in the planet, users just need to learn more about and take advantage from it.

Financial institutions, the one working to tie up customers with their enormous fees and centralized services to store clients funds are slowly getting more customers running from them and joining the decentralized finances, it is oblivious that somehow the banking system will enter in a crisis soon or later and that could be saw in the crescent demand for DeFi services.

The same customers who feed the banking system are also users of DeFi (decentralized finances) and funded the smart contract protocols with more than $6.48B in total value locked (TVL) just to prove that centralised services are with days to "be in the blacklist" from customers.

What people need to do is learn more about DeFi and advantages use it, and will realize that they are wasting time with the banking system, no one can make money locking Up funds on banks, or making it to earn interest during a year, differently from smart protocols. Anything can be made using decentralized finances.

How defi is more effective than traditional banking system.

Something about DeFi is the necessity to learn to interact and maximise earnings and time with it, companies such TrustSwap, MakerDAO, Compound, Kyber or Aave are making revolution on the market.

When this companies can offer collateralized crypto loans or an innovational service in selling tokens with security using just a credible smart contract protocols with no middleman interference and very intelligent ones to calculate rebates, profit, loss with just an algorithm integrated to deal with everything using speed and instant deliver to users granted funds.

Banks are more lazy, with many rules with plenty of blacklisted customers on their payroll, different than DeFi that can grant any loan with a lighting speed.

Financial institutions are slowly becoming obsolete and defi are emerging.

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4 years ago

Comments

I think you have limited view, DeFi will not dethrone the actual system but create a new option to access finance.

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4 years ago

I don't see it as limited view but options to the banking system we all had even before Crypto with plenty of options of finances available such as custodial loans secured by online payments such as PayPal, Payeer, Webmoney and many more but DeFi is different its no custodial its decentralized with automated protocols with no interference from humans can take long but Bank system will fall.!

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4 years ago

Banks will not fail, they are adopting the blockchain era. Anyway, I can guarantee you both will coexist together in harmony.

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4 years ago

To coexist they need to embrace the blockchain and yes I believe in the both regimes with more incidence to DeFi๐Ÿ˜€๐Ÿ˜€

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4 years ago

I totally agree with you. De-Fi supports the idea that be your own bank. However, while choosing the best platform to invest, we need to be careful! Most of them are just copy-paste platforms. I created a post about the potential risks. You may check my latest post ๐Ÿ˜Œ

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4 years ago

Yes that is true those platforms who use the technology behind Defi mist be audited and get users trust as they are also big risks.

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4 years ago

Trust me, the banks will wake up one day and realize that they are out of business.

Imagine the charges they remove from simple transaction and even alerts in Nigeria here. I.m so happy about DeFi.

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4 years ago

Yes that is true, they abuse on their fees will surely lead people to use more decentralized finances protocol and be your own Bank without need to worry about personal assets.

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4 years ago

Wow๐Ÿ˜ฎ๐Ÿ˜ฎ๐Ÿ‘ˆ amazing Story๐Ÿ‘ˆโคโœŒ

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4 years ago