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What is Borrowing in DeFi?
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Written by Primex Finance
Updated over a week ago

Borrowing in DeFi refers to the process of obtaining funds or digital assets from protocol or lenders without the need for traditional intermediaries like banks. Users have the option to borrow assets by using their current digital assets as collateral. This allows them access liquidity and leverage their holdings to engage in trading, investing, or other financial activities. Borrowing in DeFi often involves the payment of interest or borrowing fees, which compensate lenders for the risk they take by lending out their assets.

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