Decentralized Finance (Open Finance)

Decentralized Finance (DeFi) or Open Finance refers to the precedence shift from traditional closed financial system towards an open financial economy based on open protocols that are interoperable and programmable.

As the crypto space looks to expand, the term Open Finance more accurately describes the intended destination, because Ethereum is creating a new on-chain economy that integrates with current financial systems.

Open finance is not about creating a new system from scratch, it’s about democratizing the existing system and making it more equitable using open protocols and transparent data.