DeFi promises a financial system with no banks, no gatekeepers, and 24/7 access - all run by code on public blockchains. This 2026 guide explains what decentralized finance is, how lending, DEXs and yield actually work, and the real risks (smart-contract bugs, scams, and volatility) every beginner needs to weigh.

Dividends are a part of profit distributed among the holders of an asset. In a broad sense, the ROI indicator reflects the return on investment and the yield on invested capital.