The physics of financial networks

The field of Financial Networks is a paramount example the novel applications Statistical Physics that have made possible by present data revolution. As total value global financial market has vastly outgrown real economy, institutions on this planet created web interactions whose size and topology calls for quantitative analysis means Complex Networks. are not only playground use basic tools statistical physics as ensemble representation entropy maximization; rather, their particular dynamics evolution triggered theoretical advancements definition DebtRank to measure impact diffusion shocks in whole systems. In review we state art field, starting from different definitions networks (based either loans, assets ownership, contracts involving several parties -- such credit default swaps, multiplex when firms introduced game link with economy drawn) then discussing various contagion well network inference validation. We believe particularly timely since stability recent innovations climate finance, once properly analysed understood terms complex theory, can play pivotal role transformation our society towards more sustainable world.