Cryptocurrencies
Flash Loans Are Providing Instant Cash to Crypto Speculators
- Aave processed $2 billion of flash loans last year, CEO says
- Instant loans seen raising risk of coin price manipulation
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Money for nothing. That’s what a fast growing array of financial products dubbed flash loans are promising the crypto faithful.
The practice is the latest attempt by the digital-asset crowd to rewrite the rules of financial transactions, removing many of the current gatekeepers from the picture in the search to achieve what they call decentralized finance, or DeFi. As with most things crypto, the promise is great, with the perils often equally so.