ENGLISH
REFERENCE

defi

n. countable
C1 Advanced US //ˈdiːfaɪ// de·fi Finance
Definition

n. a system of financial services — lending, borrowing, and trading — built on blockchains that run through code instead of banks or other traditional middlemen.

n. decentralized finance: an umbrella term for peer-to-peer financial services delivered through smart contracts on a blockchain, without centralized intermediaries such as banks or brokerages.


SIMPLE

He earns interest on his savings through DeFi.

CONTEXTUAL

Instead of using a bank, she borrowed stablecoins through a DeFi lending protocol.

COMPLEX

Because DeFi platforms replace intermediaries with open-source smart contracts, a single coding flaw can drain millions from a liquidity pool in seconds.

Origin

Shortened from decentralized finance, the capitalised Fi echoing forms like WiFi and SciFi.

Etymology adapted from Wiktionary, available under CC BY-SA 4.0.

Last updated July 19, 2026