Composability is the ability to combine various components to form a new service or product.

In the context of decentralized finance, or DeFi, composability refers to the ability of various DeFi protocols and applications to be combined and connected to create new financial products and services that are built on top of the underlying blockchain infrastructure.

One of the key advantages of composability in DeFi is that it allows for the creation of highly customizable and flexible financial products and services. For example, a user might be able to combine a lending protocol with a stablecoin to create a custom lending service that uses the stablecoin as the loan currency.

Additionally, composability can also help to increase the efficiency and interoperability of DeFi systems, as it allows for the creation of seamless connections between different protocols and applications.

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