Smart contracts provide a basic framework for the functioning of DeFi apps as they encode the terms and activities necessary for the functioning of these services. This can be better understood by considering the example of a smart contract code having a specific code that establishes the exact terms and conditions of a loan. The code allows for the collateral to be liquidated in case some specific terms or conditions are not met. This is another key reason behind the growing popularity of DeFi stocks as the smart contracts ensure that the investors and depositors can lock their funds despite the lack of a solid infrastructure. DeFi places technology at the front and center of transactions in the financial services industry. If you are looking for the best DeFi projects to invest in, Strip Finance can be the best option.