Will we eventually see banks using these products with our money to offer us lower returns?
So imagine this:
The bank offers you a 4% return on your savings, but behind the scenes they’re investing your money in platforms like AAVE, which might yield them 6%. That 2% spread becomes their profit. 💸
It’s a classic case of arbitrage, where they capitalize on the difference between what they give you and what they earn elsewhere. The twist here is using DeFi protocols.
DEFI will win
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