Minor edit

Author: amarantha-k

blog/2025/defi-use-cases-exploring-the-potential.md

@@ -1,6 +1,6 @@
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 category: 2025
-date: 2025-04-16
+date: 2025-04-18
 seo:
     description: What is DeFi used for and how is it reshaping industries? Explore the key DeFi use cases that are driving the future of finance.
 labels:
@@ -30,15 +30,15 @@ One of the most widely used applications of DeFi protocols is decentralized lend
 
 Users enjoy the ability to lend digital assets and earn interest without involving intermediaries. For lenders, the use of overcollateralized loans provides security adding an extra layer of protection for lenders, minimizing their risk in case of default.
 
-The upcoming XRP Ledger native lending protocol will see these opportunities come to fruition for users. The [XLS-66d](https://github.com/XRPLF/XRPL-Standards/pull/240) specification introduces the XRP Ledger-native Lending Protocol, which facilitates straightforward, on-chain, uncollateralized fixed-term loans with pre-set interest terms. Loan liquidity is sourced from pooled funds, while the design relies on off-chain underwriting and risk management to assess borrowers’ creditworthiness. In cases of loan default, the First-Loss Capital protection scheme absorbs a portion of losses to protect Vault Depositors. 
+The upcoming XRP Ledger native lending protocol will see these opportunities come to fruition for users. The [XLS-66d](https://github.com/XRPLF/XRPL-Standards/pull/240) specification would introduce the XRP Ledger-native Lending Protocol, which facilitates straightforward, on-chain, uncollateralized fixed-term loans with pre-set interest terms. Loan liquidity is sourced from pooled funds, while the design relies on off-chain underwriting and risk management to assess borrowers’ creditworthiness. In cases of loan default, the First-Loss Capital protection scheme absorbs a portion of losses to protect Vault Depositors. 
 
 The Lending Protocol is represented on the ledger by a LoanBroker entry, created, owned, and managed by the same account as the VaultOwner. Future updates may allow for greater independence and flexibility by decoupling Vault and Lending Protocol components.
 
 ### Yield Farming
 
 Yield farming, or liquidity farming, is a DeFi strategy where cryptocurrency holders earn passive income by providing liquidity to DeFi protocols. Users lock up their assets in liquidity pools, forming trading pairs, and receive liquidity provider (LP) tokens in return. These LP tokens can be staked or deposited into other protocols to earn additional rewards, such as transaction fees and governance tokens. Yield farming carries risks, including impermanent loss and smart contract vulnerabilities, requiring participants to conduct thorough research before engaging in this potentially lucrative but risky activity.
 
-Established protocols like Yearn.Finance, Balancer, and Curve optimize yield farming strategies for users seeking returns. More is already on the way for the XRPL too! The lending portion of the earlier mentioned XRPL-native [Lending Protocol spec](https://github.com/XRPLF/XRPL-Standards/discussions/190) is built on top of another specification, which brings a single asset vault to the XRP Ledger. This will unlock further use cases beyond lending in the future - such as yield farming, escrow, and more!
+Established protocols like Yearn.Finance, Balancer, and Curve optimize yield farming strategies for users seeking returns. More is already on the way for the XRPL too! The lending portion of the earlier mentioned XRPL-native [Lending Protocol spec](https://github.com/XRPLF/XRPL-Standards/discussions/190) is built on top of another specification, which brings a [single asset vault](https://github.com/XRPLF/XRPL-Standards/tree/master/XLS-0065d-single-asset-vault) to the XRP Ledger. This will unlock further use cases beyond lending in the future - such as yield farming, escrow, and more!
 
 ### Decentralized Exchanges (DEXs)
 
@@ -60,7 +60,7 @@ Ripple envisions a future where regulated, enterprise-grade stablecoins, such as
 
 [RWA tokenization](https://xrpl.org/docs/use-cases/tokenization/real-world-assets) is the process of converting ownership rights into digital tokens on a blockchain. Blockchain technology provides a solution by digitizing RWAs into tradeable tokens, allowing them to be securely recorded and transferred onchain. This process enhances liquidity, transparency, and accessibility while being aware of compliance and security.
 
-The DeFi space is extending beyond crypto into real-world assets (RWAs), enabling the fractionalization and tokenization of traditional assets such as treasuries, money market funds, real estate and Stocks and bonds.
+The DeFi space is extending beyond crypto into real-world assets (RWAs), enabling the fractionalization and tokenization of traditional assets such as treasuries, money market funds, real estate and stocks and bonds.
 
 Creating a token on the XRPL is incredibly simple, tokens are immediately available for trading on its decentralized exchange (DEX) and there is no need for specialized programming languages or complex [smart contracts](https://xrpl.org/docs/use-cases/payments/smart-contracts-uc). The built-in DEX and auto-bridging feature simplify onchain trading, and transactions settle in 3–5 seconds at fractions of a cent.
 
@@ -78,4 +78,4 @@ As blockchain technology continues to evolve, DeFi protocols are unlocking new o
 
 By integrating DeFi use cases into mainstream financial systems, the industry is moving toward a more open and decentralized financial future. Whether it’s yield farming, tokenizing assets, or transforming lending and payments, DeFi is redefining global finance.
 
-Want to learn more? Explore how decentralized finance (DeFi) is shaping the next generation of financial services by learning the basics of cryptocurrency, blockchains and web3 technology on the [XRPL Learning Portal](https://learn.xrpl.org/course/blockchain-and-crypto-basics/)!
+Want to learn more? Explore how decentralized finance (DeFi) is shaping the next generation of financial services on the [XRPL Learning Portal](https://learn.xrpl.org/course/blockchain-and-crypto-basics/)!