US Treasury Unveils 2023 DeFi Risk Assessment for Illicit Finance

So today, the U.S. Treasury dropped the 2023 DeFi Illicit Finance Risk Assessment, marking the first time anyone’s looked into the risks tied to decentralized finance on this scale. It dives into the potential issues linked with what we usually call DeFi services. Now, there’s no one-size-fits-all definition of DeFi just yet, but generally, it covers those virtual asset protocols and services aimed at enabling automated peer-to-peer transactions. These often run on self-executing code, which we know as smart contracts, and are built on blockchain tech. It’s kinda funny, though, how the private sector throws around the term for stuff that isn’t really decentralized at all.