Decentralized Finance (DeFi) has developed has an answer to instability issues that have plagued the traditional, centralized financial system (see “The Lehman Brothers Bankruptcy G: The Special Case of Derivatives”). You will detail those historical issues as well as the solutions that DeFi has proposed. You should focus your discussion by using the following papers: “DeFi Beyond the Hype The Emerging World of Decentralized Finance”, “Decentralized Finance: On Blockchain- and Smart Contract-Based Financial Markets”, “Decentralized Finance: A Primer for Accounting Professionals”. You should explain how derivatives concepts also permeate the development of DeFi solutions.
Sample Solution
