Many financial positions (in DeFi or the real world) require you to have additional funds in order to move between different positions.
An example in the real world...say you're an employee at a large tech company with a bunch of stock options. You want to exercise those options and sell them. In order to exercise those options, you need money that you do not have. Luckily, your brokerage offers a service where they'll exercise the options for you and sell them. You're essentially borrowing their money very quickly to get out of your position.
In DeFi, you could use a flash loan in order to deleverage in a position. So instead of selling a small increment of your position and paying back your loan multiple times, you can instead take a flash loan and pay everything back at once to deleverage.
An example in the real world...say you're an employee at a large tech company with a bunch of stock options. You want to exercise those options and sell them. In order to exercise those options, you need money that you do not have. Luckily, your brokerage offers a service where they'll exercise the options for you and sell them. You're essentially borrowing their money very quickly to get out of your position.
In DeFi, you could use a flash loan in order to deleverage in a position. So instead of selling a small increment of your position and paying back your loan multiple times, you can instead take a flash loan and pay everything back at once to deleverage.