How DeFi Changed Traditional Lending?

DeFi, or decentralized financial services, has radically transformed the lending market. Unlike traditional banking systems, which require intermediaries, DeFi offers direct financial transactions between borrowers and lenders through smart contracts. This eliminates bureaucratic procedures, reduces costs, and increases accessibility. Collateral requirements have also become more flexible, and interest rates are more competitive. The entire process becomes transparent, which increases users' trust in these platforms and expands opportunities for investors and borrowers worldwide.