DeFi
DeFi borrower behavior is key to assessing tokenization risks: BIS study
BIS has been exploring the DeFi space for some time now. In 2023, the BIS said it worked with the central banks of France, Singapore and Switzerland to successfully test cross-border trading of central bank wholesale digital currencies and DeFi elements – particularly automated market makers. In 2022, two BIS articles stated that DeFi could lead to more unstable financial markets and may not solve the problem of dominance of large intermediaries.