๐ Todayโs key takeaway: flash loans
The borrowed funds and fees must be returned to the pool before the transaction ends. Otherwise, the entire transaction is reverted, as if it never happened.
When evaluating a protocol, pay attention to where its prices come from: protocols that rely only on the spot price of a single DEX pool are more vulnerable to flash-loan manipulation.
If youโre unfamiliar with something, stay away. Practice with small amounts first.
The lending protocol behind $AAVE , Aave, supports flash loans. Currently 157.56.
The borrowed funds and fees must be returned to the pool before the transaction ends. Otherwise, the entire transaction is reverted, as if it never happened.
When evaluating a protocol, pay attention to where its prices come from: protocols that rely only on the spot price of a single DEX pool are more vulnerable to flash-loan manipulation.
If youโre unfamiliar with something, stay away. Practice with small amounts first.
The lending protocol behind $AAVE , Aave, supports flash loans. Currently 157.56.