DeFi vs CeFi differ primarily in control and transparency. DeFi operates on blockchain technology using smart contracts to eliminate intermediaries, offering open access to financial services like lending and trading. CeFi, on the other hand, relies on traditional structures with centralized control, often providing customer support and regulatory compliance. While DeFi promotes autonomy and transparency, CeFi offers simplicity and security for newcomers. Understanding the pros and cons of both helps users choose based on trust, convenience, and risk tolerance.
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