We all are used to living in the world of centralized finance (CeFi) and many people cannot imagine that the financial system could work differently. They simply take the existing system as the given and best option. But is this the case? Or do we have alternative possibilities? What do they look like?
In this small series of financial articles I will introduce you to the concept of decentralized finance (DeFi). First I will talk about some historical milestones in the development of the centralized financial systems and the status quo, then I will present the idea of decentralized finance. And last but not least I will describe some of the most famous DeFi projects which are already running and changing the world now, while you’re reading these articles.
CeFi: History and status quo
Money makes the world go round
Let’s start at the very beginning and go through some basic concepts. The financial story of humankind starts with the invention of money.Read More