DeFi Risks & Security
Understand vulnerabilities, assess protocols, and protect your DeFi investments
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0 / 5 completedUnderstanding DeFi Security
DeFi protocols manage billions in assets through code instead of intermediaries. While this enables permissionless finance, it introduces unique security risksβfrom smart contract bugs to economic attacks that traditional finance never faces.
The DeFi Risk Landscape
π°$12+ Billion Lost in 2021-2023 - DeFi hacks and exploits continue despite growing security awareness
πCode is Law - Smart contract bugs can't be patched like traditional software; funds may be permanently lost
β‘New Attack Vectors - Flash loans enable attacks impossible in traditional finance
Technical Risks
Smart contract vulnerabilities, oracle failures, bridge exploits
Economic Risks
Flash loan attacks, MEV extraction, liquidation cascades
Human Risks
Rug pulls, phishing, compromised private keys