Written by Mopelola Ibitola

Decentralized Finance, popularly known as DeFi, is coined from two words – decentralization and finance. Decentralization in simple terms is the division of power amongst a network or group of people. It’s the opposite of centralization and has proven to be more effective than the former. In traditional finance, we have to go through middlemen like financial institutions and banks before we can perform transactions or send money to people. This system is flawed because of the strict regulations, high transaction fees and longer cross-border payment transaction times. 

With DeFi, you are your bank and have power over your finances. You can send and receive currency without going through banks using just your wallet. For those new to wallets, they are digital wallets that are used to store crypto and DeFi tokens. No KYC is required. KYC stands for ‘Know Your Customer’. It’s a standard procedure used in traditional finance institutions to receive more details about customers. During KYC registration you are asked to submit your name, date of birth, residence address, copy of your passport and documents like birth certificate, national ID card and the likes. While wallet holders often don’t have to pass KYC checks, you are responsible for the security of your money, as you have to make sure your wallet is secured by storing your seed phrases (likened to a password but in a 12-word format) properly.  It gives power back to the people as permissions rely less on third party tools.

The technology that makes all this possible is the “blockchain.” The blockchain is a digital ledger that stores data, information and transactions in blocks and is bonded to previous information in a way that connects together. It has some features that make it interesting and great to use. These include:

• Immutability: This means once data has been entered into the blockchain, it cannot be altered or changed. This is possible through the cryptographic hashing used to connect the previous block of data to the next one making it a long chain of blocks containing information. 

• Transparency: Due to the immutability feature of the blockchain, the blockchain is viewed as a transparent system of data and information. Everyone has access to the information stored on it because of its open-source nature.

• Security: The blockchain is highly secure through the use of consensus algorithms and cryptographic hashing used to verify information being stored in the network. Consensus algorithms are a standardized way of checking with every node if the information is correct before inputting it into the ledger. 

Why We DeFi

According to statistics, the crypto market is growing at an annual compound rate of 9%, with an expected revenue of $26.2 mln USD in 2024. This figure represents the highest ever since the debut of cryptocurrency and further proves the numerous opportunities present. Using the above data, the average revenue for each DeFi user will be ranging around $1,000-$1,300 USD. 

The use of cryptocurrency and DeFi in places like Asia and India has increased tremendously – more than 30% in the past few years. Asia is becoming a global hub for cryptocurrencies and DeFi with a projected growth of 7.85% in 2022,  totaling to $7.53 billion in revenue. Some of this growth is attributed to the level of unbanked citizens in countries in the Asia continent. In Thailand, for example, 16% of its population does not have access to financial services due to lack of identification documents like valid ID cards and lack of banking infrastructure in rural areas. They are adopting crypto as a result of the setbacks and unequal access experienced in traditional finance institutions.

India is one of the world’s leading countries in digital assets trading and reflects a compound projected growth rate of 60% between the years 2023-2028. In India, consumers have found a reason to bank on the blockchain and cryptocurrency for their daily transactions and other services. The country’s stance on digital assets would make one believe the system is not going to thrive as India has been known for stiff regulations and laws against crypto. However, inflation, economic instability, and fiat devaluation has led many to pick a better option for their finances. 

Now, with a brief overview of Decentralized Finance and the technology behind it, you might be thinking – why should I pick this over TradFi (Traditional Finance)? Is there any difference between the two? Oh, there is! Let’s jump into Why We DeFi. 

1. Autonomy: Using DeFi tools, you don’t need anyone’s permission to send or receive money. You have the freedom to perform transactions without a third party being involved.
2. Accessibility: Anyone in the world with an internet connection can use a DeFi platform. There are no restrictions by third parties or regulations before usage.
3. New streams of income: There are various ways to earn passive income in DeFi. We can stake, lend and provide liquidity to DeFi protocols and get rewarded by them.

DeFi Tools:

There are thousands of tools that are at your disposal in web3 & DeFi, but it’s best not to get overwhelmed by delving through them all. I have curated the most essential tools into five categories that are used daily to interact with web3 and other decentralized applications. 

Web3 Wallets 💳	CEX’s 💹	Data Aggregator 👩‍💻	DEX’s 📉📈	Information Tools 🛠️
MetaMask	Binance	CoinMarketCap	Pancake Swap	Messari
Trust wallet	Bybit	CoinGecko	Uniswap	Nansen
Trezor	Coinbase	DEX Screener	GMX	Cointelegraph
Phantom	OKX	CryptoSlate	Camelot	Cryptopresales
Rainbow wallet	KuCoin	OnchainFX	dYdX	TradingView

Opportunities in DeFi 

According to data, women make up only 14% of the web3 industry. The numbers are even lower when we consider women in leadership or founder roles in web3, bringing it to about 10% according to the 2021 State of Women in Web3 report. 

Specifically in crypto, research has shown that women perform better at crypto investing than their male counterparts, namely as female traders hold their assets longer. According to KuCoin’s report, women also make more informed decisions before investing in a token, which often drives better results. 58% of the women who partook in the KuCoin survey said they make their investments based on their conviction. Finder.com also published a similar study that shows women are better investors than men. This study showed that women don’t check their portfolio as often as men after investing, which helps the growth of their portfolio. Always checking one’s portfolio can lead to FUD (fear, uncertainty and doubt) which causes panic selling and hinders the long term growth of investments.  

We have seen with the above data women have strong potential in becoming successful in crypto, but this requires ample opportunities which support women in growing and improving their skills and experience. One of the ways we at Si3 plan to support this is through our 12-week ‘Trade Like Her’ program launching in early April 2024. This program is designed to teach women the fundamentals of DeFi, including introductions to presales, DEX’s, CEX’s, trading bots, airdrops and value investing.

As mentioned earlier, DeFi is a land of opportunity for everyone to maximize. Here are some ways that you can capitalize on this industry’s opportunities as a professional:

1. Trading: Just like the traditional financial markets such as forex and stocks, DeFi also has financial assets you can trade. This involves the use of technical, fundamental, and on-chain analysis which enables you to understand how to make profit from the market. Trading is a great way for you to learn and earn at the same time. 

2. Smart Contract Development: Smart contracts are codes written to communicate to a computer. DeFi applications utilize smart contracts to execute agreements without a third party. Learning how to write smart contracts can be helpful as smart contract developers are one of the mostly highly sought-after jobs in DeFi. If you have previous knowledge of coding, picking up languages like Rust and Solidity are useful. 

3. Design: Design is another important area. Before an application or website is ready for use, it must have undergone some form of design. It may be UI/UX, Product or even Web design. 

4. Project Management: Every crypto or DeFi project has specific objectives to meet. Where project management comes in is the application of certain skills to ensure those objectives are being met. If you have experience managing a group of people to achieve a common goal, this is an area you can explore for job opportunities in the space.

5. Community Management: Community is very important in crypto. Industry professionals and crypto holders form communities based on related interests, and DeFi projects have adopted this as a strategy to engage their users. It’s not uncommon to see DeFi projects have communities on different social media platforms such as Telegram, Discord and Twitter. With this development, there’s a need for a people manager to see there’s no conflict or misunderstanding in such groups and also for proper dissemination of information from their organizations.

I would also like to highlight real-life examples of successful women in web3 community leaders that are paving pathways for DeFi education:

Women Leaders Paving the Way in Blockchain and Cryptocurrency

Sarah Idahosa, Founder of WomenInDeFi

Sarah Idahosa has been in the blockchain space as an educator, community builder and a speaker. Using her experience in the cryptocurrency industry, she decided to build a women-focused community where DeFi, trading and community building skills are taught. WomenInDeFi is currently the biggest crypto women community in Africa and has equipped more than 10,000 ladies with DeFi knowledge. 

Maggie Love, Founder of SheFi 

Maggie is a woman who is passionate about spreading the gospel of cryptocurrency and DeFi to women and non-binary individuals. Maggie noticed women were not equally represented and active within the DeFi ecosystem and took it upon herself to begin a women-focused DeFi education organization – now with over 1,500 members. Also to note, a portion of SheFi’s earnings as an organization are also donated to a non-profit organization that teaches women about STEM (Science, Technology, Engineering and Mathematics) programs.

Oluchi Enebeli, Founder of Web3 Ladies

Another phenomenal woman in web3 today is Oluchi Enebeli. She started her journey in web2 as a developer before transitioning to web3. Her transition started from her first participation in a hackathon due to her interest in blockchain technology. Intrigued by its potential to solve real-life problems like lack of transparency in the finance sector, she explored more by learning all about the technology. She’s also the first blockchain engineer in Nigeria amongst many achievements. With her knowledge about web3, she created Web3 Ladies, a community with 15,000 members aimed at training women in product management and blockchain engineering.

About Si Her

Si Her is a web3 talent collective and a subsidiary of the Si3 Universe, a a new media organization which focuses accelerating the visibility and unifying diverse web3 professionals. Within Si Her, members receive access to tools and resources to develop their web3 professional brands and voices as industry thought leaders. Si3 is also launching their free ‘Si Her Grow’ Web3 Marketing program, offering a 9-week course. In this course Si3’s Founder Kara Howard will outline growth strategies & recommended platforms with the goal of orienting the women in web3 community at large to adopt a growth and revenue-focused mindset. Finally, Si3 is introducing their Trade Like Her 12-week DeFi & crypto course, available to our Si Her Web3 Talent Collective members.

The Trade Like Her program is a 12-week DeFi program created by Si3 to educate and onboard women in crypto and DeFi (decentralized finance) trading, airdrops, presales, and investing strategies.

To join Si Her and their web3 talent collective, create your own siher.eth website, and learn to trade, go to Si3.space and register! 

Mopelola Ibitola is a web3 content writer who creates crypto and DeFi content and makes it easy to understand for people. She loves the technology behind cryptocurrency and blockchain and is willing to share her ideas with the world. She creates DeFi and Web3 content for the Women in DeFi (WID) organization and is currently a writer for Si3’s Trade Like Her initiative.