Risk analysis in decentralized finance (DeFi): a fuzzy-AHP approach

Decentralized finance is disrupting the financial ecosystem through innovative, transparent, and interoperable solutions. Based on distributed ledger technology, decentralized a nascent rapidly evolving area. protocols are witnessing perfect storm (in terms of growth). However, this emerging area needs sober consideration as these technologies possess unique risks for users, makers, regulators, other stakeholders. The current research aims to identify prioritize in finance. present study conducted an extensive survey literature various involved For empirical analysis, collected data from 90 experts. A fuzzy analytical hierarchical process (F-AHP) was applied Pairwise comparison weights all criteria sub-criteria revealed that technical most significant ones, followed by legal, regulatory, risks. Among sub-risks, at highest level, smart contract transaction outcomes have several implications policymakers, entrepreneurs, technologists, practitioners. These stakeholders can focus vulnerabilities offer more sustained solutions future.