New Report: IOTA Foundation "Bringing Clarity to the DeFi Sector: A Cross-Sector Proposal for a Unified DeFi Definition"
10 August 2023
The primary goal of this work from IOTA Foundation is to set the groundwork for a comprehensive and universally recognized definition of DeFi. In light of the rapid growth and evolution of the Web3 industry, it becomes imperative to establish a shared understanding of DeFi as a way to foster collaboration, regulatory clarity, and innovations in this borderless financial ecosystem. The purpose of this paper is to provide a comprehensive report of the process that led to the formulation of the consolidated definition of DeFi.
Decentralized Finance (DeFi) is based on blockchain technology and aims to create open-source financial building blocks. It refers to a paradigm that operates through the integration of various technologies with common characteristics, as opposed to operating as a cohesive unit like traditional financial systems. At its core, DeFi embodies the principle of absolute financial freedom arising from absolute responsibility on the part of users.
Find out more and download the complete report here.