===== Aggregation Layer ===== 
[[dido:public:ra:xapend:xapend.a_glossary:start| Return to Glossary ]]

**Aggregation Layer**, [[dido:public:ra:1.2_views:2_tech_views:defilayers | in Decentralized Finance (DeFi)]], consists of aggregators who connect various applications from the previous layer to provide a service to investors. For example, they might enable the seamless transfer of money between different financial instruments to maximize returns. In a physical setup, such trading actions would entail considerable paperwork and coordination. But a technology-based framework should smoothen the investing rails, allowing traders to [[dido:public:ra:xapend:xapend.a_glossary:s:switch|switch]] between different services quickly. Lending and borrowing is an example of a service that exists on the aggregation layer. Banking services and crypto wallets are other examples.((
Rakesh Sharma,
Investopedia,
24 March 2021,
__Decentralized Finance (DeFi) Definition__,
Accessed 24 May 2021,
[[https://www.investopedia.com/decentralized-finance-defi-5113835]]
))
  


Source: [[https://www.investopedia.com/decentralized-finance-defi-5113835 ]]


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