Removing the Human Factor from DeFi Risk Management - TOKEN2049 Singapore 2023
Explore the revolutionary strides in decentralized finance (DeFi) as we tackle the crucial topic of risk management without human interference in "Removing the Human Factor from DeFi Risk Management" at TOKEN2049 Singapore 2023. Yaron Velner, founder of B.protocol and lead contributor to Risk DAO, delves into the intricacies of economic risk management within DeFi lending markets. As DeFi protocols grow in complexity, understanding the pivotal role of the loan-to-value (LTV) ratio is essential for both security and user experience.
Velner highlights the limitations of traditional and current crypto risk management systems, where human biases and decision-making have led to economic crises and inefficiencies. With smart contracts taking center stage, he envisions a future where risk management processes are transparent, automated, and free from political bias. These advanced systems promise to offer objective, data-driven insights into liquidity, volatility, and other risk factors.
Addressing current challenges, Velner presents B.protocol's innovative methodology, which balances automated decisions with precise human input. This approach paves the way for a more efficient and less emotionally-driven risk management system in the DeFi landscape.
Engage with thought leaders as Velner outlines a path to overcoming obstacles through smart contracts, ultimately safeguarding resources and ensuring a more decentralized financial ecosystem. Join the conversation on the future of DeFi, and for further insights, engage with us through our channels.
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