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Related papers: Measuring Asset Composability as a Proxy for DeFi …

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Decentralized bridge applications are important software that connects various blockchains and facilitates cross-chain asset transfer in the decentralized finance (DeFi) ecosystem which currently operates in a multi-chain environment.…

Software Engineering · Computer Science 2024-12-20 Dan Lin , Jiajing Wu , Yuxin Su , Ziye Zheng , Yuhong Nan , Qinnan Zhang , Bowen Song , Zibin Zheng

Automated Market Makers (AMMs) are a class of smart contracts on Ethereum and other blockchains that "make markets" autonomously. In other words, AMMs stand ready to trade with other market participants that interact with them, at the…

Mathematical Finance · Quantitative Finance 2022-12-22 Stefan Loesch

Recently emerging Decentralized Finance (DeFi) takes the promise of cryptocurrencies a step further, leveraging their decentralized networks to transform traditional financial products into trustless and transparent protocols that run…

Cryptography and Security · Computer Science 2021-06-28 Bowen Liu , Pawel Szalachowski , Jianying Zhou

We assess the market risk of the DeFi lending protocols using a multi-asset agent-based model to simulate ensembles of users subject to price-driven liquidation risk. Our multi-asset methodology shows that the protocol's systemic risk is…

General Economics · Economics 2022-12-15 Amit Chaudhary , Daniele Pinna

The derivative of token standard of Ethereum blockchain, termed as Non Fungible Token is distinguishable token. These tokens are bound with digital properties that provide them unique identification which helps in fulfilling the aim of…

Cryptography and Security · Computer Science 2025-08-05 Priyanshu Lohar , Kiran Rathi

Decentralized Finance (DeFi) is a prominent application of smart contracts, representing a novel financial paradigm in contrast to centralized finance. While DeFi applications are rapidly emerging on mainstream blockchain platforms, their…

Software Engineering · Computer Science 2024-01-12 Wei Ma , Chenguang Zhu , Ye Liu , Xiaofei Xie , Yi Li

Complex DeFi services are usually constructed by composing a variety of simpler smart contracts. The permissionless nature of the blockchains where these smart contracts are executed makes DeFi services exposed to security risks, since…

Cryptography and Security · Computer Science 2024-01-09 Massimo Bartoletti , Riccardo Marchesin , Roberto Zunino

The evolution of cryptocurrency and decentralized finance (DeFi) marks a significant shift in the financial landscape, making it more accessible, inclusive, and participative for various societal groups. However, this transition from…

General Finance · Quantitative Finance 2024-07-03 Amrutha Muralidhar , Muralidhar Lakkanna

Decentralized finance, powered by blockchain technology, is growing day by day. This field, which emerged a few years ago, today manages $70 billion in assets. In this study, the concept of decentralized finance is discussed and explained…

General Finance · Quantitative Finance 2023-04-05 Mansur Bestas

The advent of smart contracts has enabled the rapid rise of Decentralized Finance (DeFi) on the Ethereum blockchain, offering substantial rewards in financial innovation and inclusivity. This growth, however, is accompanied by significant…

Social and Information Networks · Computer Science 2026-05-05 Shabnam Fazliani , Mohammad Mowlavi Sorond , Arsalan Masoudifard

Ethereum contracts can be designed to function as fully decentralized applications called DAPPs. Many DAPPs have already been fielded, including an online marketplace, a role playing game, a prediction market, and an Internet service…

Cryptography and Security · Computer Science 2017-01-17 George Bissias , Brian Levine , Nikunj Kapadia

In decentralized finance (DeFi), stablecoins like DAI are designed to offer a stable value amidst the fluctuating nature of cryptocurrencies. We examine the class of crypto-backed stable derivatives, with a focus on mechanisms for price…

Risk Management · Quantitative Finance 2024-02-29 Zhenbang Feng , Hardhik Mohanty , Bhaskar Krishnamachari

Decentralised cloud computing platforms enable individuals to offer and rent resources in a peer-to-peer fashion. They must assign resources from multiple sellers to multiple buyers and derive prices that match the interests and capacities…

Cryptography and Security · Computer Science 2020-12-17 Michał Król , Alberto Sonnino , Argyrios Tasiopoulos , Ioannis Psaras , Etienne Rivière

The rapid growth of decentralized finance (DeFi) has led to the widespread use of automated agents, or bots, within blockchain ecosystems like Ethereum, Binance Smart Chain, and Solana. While these bots enhance market efficiency and…

Cryptography and Security · Computer Science 2025-01-22 Ahmed Mounsf Rafik Bendada , Abdelaziz Amara Korba , Mouhamed Amine Bouchiha , Yacine Ghamri-Doudane

Blockchain and Cloud Computing are two of the main topics related to the distributed computing paradigm, and in the last decade, they have seen exponential growth in their adoption. Cloud computing has long been established as the main…

Distributed, Parallel, and Cluster Computing · Computer Science 2025-02-18 Carlos Melo , Jamilson Dantas , Paulo Pereira , Paulo Maciel

Smart contracts led to the emergence of the decentralized finance (DeFi) marketplace within blockchain ecosystems, where diverse participants engage in financial activities. In traditional finance, there are possibilities to create values,…

Cryptography and Security · Computer Science 2024-06-21 Rasheed , Yash Chaurasia , Parth Desai , Sujit Gujar

Inspired by Bitcoin, many different kinds of cryptocurrencies based on blockchain technology have turned up on the market. Due to the special structure of the blockchain, it has been deemed impossible to directly trade between traditional…

Cryptography and Security · Computer Science 2020-05-08 Hangyu Tian , Kaiping Xue , Shaohua Li , Jie Xu , Jianqing Liu , Jun Zhao

Financial markets are undergoing an unprecedented transformation. Technological advances have brought major improvements to the operations of financial services. While these advances promote improved accessibility and convenience,…

Trading and Market Microstructure · Quantitative Finance 2023-12-05 Agostino Capponi , Garud Iyengar , Jay Sethuraman

In recent years, blockchain technology has introduced decentralized finance (DeFi) as an alternative to traditional financial systems. DeFi aims to create a transparent and efficient financial ecosystem using smart contracts and emerging…

Computational Engineering, Finance, and Science · Computer Science 2024-03-14 Bingqiao Luo , Zhen Zhang , Qian Wang , Anli Ke , Shengliang Lu , Bingsheng He

Within just four years, the blockchain-based Decentralized Finance (DeFi) ecosystem has accumulated a peak total value locked (TVL) of more than 253 billion USD. This surge in DeFi's popularity has, unfortunately, been accompanied by many…

Cryptography and Security · Computer Science 2023-04-11 Liyi Zhou , Xihan Xiong , Jens Ernstberger , Stefanos Chaliasos , Zhipeng Wang , Ye Wang , Kaihua Qin , Roger Wattenhofer , Dawn Song , Arthur Gervais