FinTechIntro / FinTechIntro/2024-Spring-Final
Potential risks in lending protocol
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Description
## Summary
> Please give a short summary of this research topic.
What are the typical security concerns associated with lending protocols, and how can these issues be addressed? An example is the liquidation mechanism, a critical component in a lending system. If not well-designed, it can result in bad debt and potentially disrupt the entire system.
## Description
> Please provide a detailed description to the topic.
Numerous common challenges arise when designing a lending system, encompassing collateral calculation, the liquidation mechanism, and oracle design. Please research into these issues and help devise effective mitigation strategies.
## Source
> Please provide related resource for the topics, including articles, research papers and more.
[Solodit](https://solodit.xyz/): Please search lending related report.
[Lending/Borrowing DeFi Attacks](https://dacian.me/lending-borrowing-defi-attacks)
[Common fork bugs](https://github.com/YAcademy-Residents/defi-fork-bugs?tab=readme-ov-file#compound)
[An empirical study of DeFi liquidations](https://dl.acm.org/doi/10.1145/3487552.3487811)[: incentives, risks, and instabilities](https://dl.acm.org/doi/10.1145/3487552.3487811)
## Others
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