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.

Layer 2

Cell Protocol Wants to 'Democratize' Liquidity in DeFi

The team, finalists during Web 3 Pitch Fest, wants to expand the network "horizontally and vertically" across exchanges and blockchains.

By Xinyi LuoJun 6, 2022

To preserve the anonymity of some of its founding members, Cell Protocol is using non-fungible tokens. (Cell Protocol, modified by CoinDesk)

Finance

Exchanges descentralizados superan a contrapartes centralizadas en flujos on-chain, según Chainalysis

Con estos datos se plantea el cuestionamiento sobre la regulación de los DEX.

By Cam ThompsonJun 6, 2022

Michael Gronager, CEO de Chainalysis. (Danny Nelson/CoinDesk)

Finance

CoinDesk Confidential: Robin Schmidt

The head of video and multimedia at media company The Defiant answers our questionnaire ahead of Consensus 2022.

By CoinDeskJun 2, 2022

(Robin Schmidt, modified by Melody Wang and Yunha Lee/CoinDesk)

Finance

Beanstalk Stablecoin Protocol 'Barn Raise' Aims to Restore $77M in Lost Funds

Beanstalk was hit by a $182 million flash-loan attack in April.

By Brandy BetzJun 2, 2022

Policy

DeFi 'Casino' May Need New Global Regulator, German Central Banker Says

Joachim Wuermeling called for immediate discussions on how to treat DeFi as the Financial Stability Board prepares a rule book for the crypto sector.

By Jack SchicklerJun 2, 2022

Debate rages on how to regulate decentralized finance. (Jeremy Moeller/Getty Images)

Videos

DeFi Ledgers Can Help Regulators Oversee Sector: BIS Official

A new Bank for International Settlements (BIS) working paper makes a case for “embedded supervision” that argues regulatory oversight can be built into seemingly untamable decentralized finance (DeFi) systems. “The Hash” team discusses the feasibility of such supervision and regulating open finance.

Jun 1, 2022

Policy

DeFi Ledgers Can Help Regulators Oversee Sector, BIS Official Says

A new BIS working paper makes a case for "embedded supervision" that argues regulatory oversight can be built into seemingly untamable decentralized finance systems.

By Sandali Handagama, Jack SchicklerJun 1, 2022