Imagine a special kind of bank in the internet world called DeFi! It lets people lend and borrow digital money, like USDC (a type of digital dollar). This DeFi bank offers much higher interest than regular banks.
- DeFi lets people earn high interest on their digital money.
- Some DeFi platforms offer 12-15% interest, much more than regular savings accounts.
- This high interest comes from people borrowing money to make more money in the digital world.
| Type of Investment | Interest Rate |
|---|---|
| US Treasuries (regular government bonds) | 4-5% |
| DeFi Lending (e.g., Aave, Morpho) | 12-15% |
| Ethena's sUSDe | 20-30% |
While it sounds amazing, remember that digital money can also be risky. But DeFi is becoming more reliable and is getting attention from big investors!
