DeFi

DeFi, short for decentralized finance, represents a shift in the financial sector by leveraging blockchain technology, primarily Ethereum, to eliminate traditional financial intermediaries. It enables various financial applications, from simple transactions to complex contracts, through smart contracts that execute automatically under specific conditions. Key DeFi applications include decentralized exchanges (DEXs), stablecoins, lending platforms, and prediction markets. DeFi offers financial services like loans and interest-earning opportunities without traditional identity verification, relying instead on collateral, usually in cryptocurrency. This innovative sector promises increased accessibility and efficiency but comes with risks, such as market volatility and unregulated projects.

Tech

DeFi Index Project to Launch With Vampire Attack on Index Coop, Others

Enso Finance, a new index and “social trading” protocol, is arriving on the scene in gruesome fashion.

By Andrew ThurmanDec 7, 2021

Podcasts

Is the Decentralization in DeFi an ‘Illusion’?

By Nathaniel WhittemoreDec 7, 2021

Markets

Wrapped Bitcoin’s Supply Has More Than Doubled, but BadgerDAO Hack Exposed Risks of Moving Bitcoin to Ethereum

Higher returns usually come with higher risks.

By Muyao ShenDec 6, 2021

The rapid growth of a yield farming optimization protocol focusing on Curve Finance has helped CRV token become a top performing token this week. Credit: Noah Buscher/Unsplash

Policy

DeFi’s Decentralization Is an Illusion: BIS Quarterly Review

The BIS review dedicated a special feature to discussing decentralized finance and its implications for financial stability.

By Sandali HandagamaDec 6, 2021

The headquarters of the Bank for International Settlements (BIS) is seen in Basel, Switzerland, on Tuesday, June 25, 2013. Central banks can't expand loose monetary policy without exacerbating risks to world economies, the Bank for International Settlements said this week. Photographer: Gianluca Colla/Bloomberg via Getty Images

Videos

Is DeFi’s Decentralization Just an Illusion?

In its latest quarterly review, the Bank for International Settlements (BIS) said decentralized finance (DeFi) has a centralization problem, and policymakers should use it to regulate the sector. "The Hash" team digs into the report and what it illuminates about the potential risks of DeFi. Could open finance undermine financial stability?

Dec 6, 2021