Accuracy and precision cannot be found 100% in every project designed/invented by humanity, there have to be back doors loop holes and lapses, not achieving 100% efficiency in avoiding these limitations in designs and invention of new project made it clear to users to be aware of the fact that every good project initiated has limitation embedded in it.

Although decentralized blockchain has numerous advantage over centralized system such as users custodian in management of crypto asset, fast transaction system, secure anonymity in making transaction, high yield generation of passive income, just to mention a few lending/borrowing made much easier on decentralized system and lot more.

There are basic limitations however about decentralized system that users need to know.

Please note that these limitations are not meant to give users impression that decentralized system holds a bad reputation, it's to enlighten users and make them know some unauthorized method some users are using the DeFi system to perform dubious scamming activities.

Limitations on DeFi

Anonymity in transactions

Decentralized blockchain offers users complete custodian control of their own crypto asset these overall has lead to loose of millions of crypto currencies worth millions of dollars to multiple and countless online investment platforms which promise investors high return on investing their token with the fact that these dubious platforms in most cases are difficulty to trace and track down due to anonymity in decentralized transaction system users making transaction on blockchain network could barely be traced and tracked down.

Safe heaven for scammers

Also with the tracing and tracking of transaction being a limitation hackers and scammers use these as a leverage to defraud investors of their hard earn crypto by promising them good return.

Open source for developers

most likely decentralized blockchain are open source project which could be developed by developers these has made thousands of project related to crypto currency to have been experiencing mass increase of new unregulated project without a well financial support and backing.
the ease for any developer with prior knowledge on blockchain to create and start up a chain platform for investment is another limitation.

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