The Bank of Canada (BoC) has published a new staff note on decentralized finance (DeFi), providing investors with an overview of the growing sector and highlighting the challenges and risks involved with its use and integration into the broader financial system. “DeFi is the provision of financial services without relying on traditional intermediaries,” the note said. It “operates within a multi-layered structure” composed of the bottom (or settlement) layer, where the blockchain records and settles transactions; the asset layer, which includes native tokens, stablecoins, and other financial services; and the ... (full story)