Digital Asset Finance

Definition ∞ Digital asset finance describes the array of financial services and products built around cryptocurrencies, tokens, and other blockchain-based assets. This domain includes lending, borrowing, trading, and asset management activities conducted with digital assets. It represents a rapidly evolving sector that merges traditional financial principles with distributed ledger technology. The field seeks to offer novel financial solutions and improve existing ones.
Context ∞ The growth of digital asset finance is a major driver of innovation within the broader financial industry, attracting both retail and institutional participants. Regulatory bodies worldwide are actively considering frameworks to govern these new financial instruments and services. News frequently reports on new protocols, investment vehicles, and regulatory actions impacting this expanding financial sector.