DeFi is not just about earning yield or trading. It is an open financial landscape, which means it carries serious risks that demand strict, disciplined security hygiene from users.
### The Major Threats
1. **Phishing Scams:** Fraudulent websites matching verified branding to trick you into connecting your wallet and signing full permission approvals.
2. **Smart Contract Bugs:** Flaws inside smart contract code that exploiters can manipulate to drain assets from liquidity pools.
3. **Market Volatility:** Prices of speculative assets can crash rapidly, triggering liquidation events for leveraged loans.
### Kizito Uzor’s Core Message
“In DeFi, you have ultimate control over your assets—but with that control comes 100% of the responsibility. You must thoroughly do your due diligence, verify contract addresses, and understand risks before interacting with any system.”