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Day 2 of #100DaysOfDefi Learning Problems with Centralized Finance (CeFi) CeFi, often associated with traditional banking, has its share of drawbacks. Here are five key problems: -> Centralized Control: CeFi relies on a central authority, like banks, to manage your money. This centralization can lead to issues like censorship and a lack of control over your own funds. -> Limited Access: Not everyone has access to CeFi services due to geographical restrictions or stringent requirements. Financial exclusion remains a significant concern. -> Inefficiency: CeFi processes can be slow and involve multiple intermediaries, leading to higher costs and delays in transactions. -> Lack of Interoperability: Different CeFi platforms often don't communicate well with each other. This lack of interoperability can make financial interactions cumbersome. -> Opacity: CeFi systems are not always transparent, making it challenging to understand how decisions are made and how funds are managed. #FinanceRevolution #CeFi #CentralizedFinance #FinancialChallenges
