How DeFi lending can restructure older financial systems

[EAA-ALLAH]

Since the inception of the world’s first cryptocurrency, Bitcoin, we have seen innovations of all kinds – from stablecoins to full-blown decentralized finance projects. While stablecoins brought stability to highly volatile cryptos, DeFi introduced new ways to generate income. One such popular method is lending.
The onset of the pandemic has made people look for an investment option. DeFi lending presented the preposition of making money on crypto holdings without the traditional goalkeepers of loans. Instead of banks or other central entities, people could now choose a decentralized platform to borrow or lend loans. It resulted in the explosion of this new form of lending, with over $29 billion locked in different DeFi lending platforms.
In this article, we explore some of these lending protocols and find out how they work. Source