Delving into the Security Side of Decentralized Finance Applications

Abstract

This article is a study on the security of decentralized finance. We summarize the background and application of decentralized finance, as well as the development history and latest research of decentralized finance. Moreover, we propose a classification framework for existing various DeFi DApps. We also manually collected attacks against decentralized financial applications and classified them by category. Through some case studies, we give some best practices for practitioners in decentralized finance industries to avoid or defend against attacks.