DEFI EXPLAINED: DECENTRALIZED LENDING AND BORROWING

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DEFI EXPLAINED : DECENTRALIZED LENDING AND BORROWING

  • Jan-Michael Steiner, Arindam Bhaumik, Philipp Kaspar, Vinzenz Treytl and Petro Dmytriiev (ABC Research)
  • Published: 03 July 2023

 

DeFi lending and borrowing is a growing sector within decentralized finance. For financial firms, tapping into global liquidity sources and the promise of additional interest income are just two benefits of exploring DeFi lending. Partnerships with DeFI lending platforms may be a viable option for financial institutions to test waters. Our collaborative research with the Austrian Blockchain Center investigates prevalent lending pool methods, and contrasts the approaches taken by DeFi and conventional lending systems.