Crypto for Advisors: What is DeFi?

Decentralized Finance (DeFi) is a software system of financial applications allowing individuals full control over online financial transactions without intermediaries, made possible by permissionless blockchains. While only 3% of Americans know the term, research shows high interest in digital money transfer alternatives, as many are frustrated with the traditional financial system. Financial professionals have an opportunity to guide clients toward DeFi as an investment theme, especially as adoption is early and regulated ETPs offer familiar exposure. Key trends shaping DeFi's future include the tokenization of real-world assets (RWAs) attracting institutional players seeking yield, and the influence of Artificial Intelligence (AI) agents enabling autonomous financial decision-making, such as rebalancing liquidity pools and forecasting market shifts.

(Source：CoinDesk)