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DeFi Borrower Behavior Key to Gauging Tokenization Risks: BIS | DeFi & Ethereum News

DeFi Borrower Behavior Key to Gauging Tokenization Risks: BIS Study

The behaviors of borrowers in the decentralized finance space and DeFi market dynamics are important considerations when designing and managing platforms involving tokenized assets, a study by the Bank for International Settlements (BIS) has concluded. The workings of DeFi lending platforms offer useful insight into the risks associated with tokenization and the potential disruption of traditional finance, the technical study by the central bank group said.

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