Practice Point: Flash Loans | Practical Law

Practice Point: Flash Loans | Practical Law

This Practice Note provides a basic introduction to flash loans, a decentralized finance (DeFi) tool that permits issuance of an instantaneous uncollateralized loan of cryptocurrency for a limited period. The Note also examines the 2022 Beanstalk Farms flash-loan attack, as well as important considerations for parties providing access to flash loans.

Practice Point: Flash Loans

Practical Law Practice Note w-035-3468 (Approx. 7 pages)

Practice Point: Flash Loans

by Sumeet Chugani, Coinbase, and Robin Nunn, Morgan, Lewis & Bockius LLP, with Practical Law Finance
MaintainedUSA (National/Federal)
This Practice Note provides a basic introduction to flash loans, a decentralized finance (DeFi) tool that permits issuance of an instantaneous uncollateralized loan of cryptocurrency for a limited period. The Note also examines the 2022 Beanstalk Farms flash-loan attack, as well as important considerations for parties providing access to flash loans.