What Is DeFi (Decentralized Finance)?

DeFi is a financial ecosystem built on blockchain smart contracts that provides services like lending, borrowing, trading, and yield farming without traditional intermediaries. DeFi protocols include Uniswap, Aave, Compound, and MakerDAO. Whale activity in DeFi protocols is tracked by Sonar as DEFI transaction types. Large DeFi movements can indicate sophisticated strategies like yield farming, liquidity provision, or leveraged trading.