👉 Smart contracts play a crucial role in decentralized finance (DeFi) by automating financial transactions and enabling trustless, self-executing financial agreements.
📲 They allow users to interact with decentralized financial applications (DApps) in a secure, transparent, and tamper-proof manner, eliminating the need for intermediaries such as banks or financial institutions.
📋 Smart contracts can be used to create financial products like loans, stablecoins, and derivatives, and to execute trades and manage assets within decentralized exchanges (DEXs).
💁♂️ By removing the need for intermediaries, smart contracts reduce counterparty risk and make it possible to build new financial applications that were previously impossible.