Centralized Finance (CeFi)

簡介：

Centralized finance (CeFi) are financial services offered by centralized institutions like banks, exchanges, or other financial entities.

主要說明：

Centralized finance (CeFi) refers to financial services offered by centralized institutions like banks, exchanges, or other financial entities. Unlike decentralized finance (DeFi), which functions on blockchain technology without intermediaries, CeFi relies on trusted organizations to deliver various financial products such as lending, borrowing, trading, and savings.

With CeFi, users typically set up accounts on these platforms, which allows them to deposit funds, earn interest, and engage in trading or borrowing activities. This model often provides a more familiar experience, regulatory oversight, and customer support. However, it also means users have less control over their assets and face risks associated with potential vulnerabilities of centralized systems, such as hacking or mismanagement.

Despite these concerns, many people find CeFi appealing due to its user-friendly interface, accessibility, and the competitive yields it can offer compared to traditional finance and DeFi options.