DeFi Protocol

Decentralized Finance (DeFi) protocols aim to create a permissionless, transparent financial system using smart contracts on blockchains. Current research focuses on improving DeFi's efficiency and security, employing techniques like graph representation learning to categorize services, Bayesian and model-free algorithms for optimal market making, and machine learning for fraud detection and on-chain governance. These advancements are crucial for mitigating risks associated with DeFi's rapid growth, enhancing its stability, and ensuring regulatory compliance.