Decentralized Finance (DeFi) is a financial ecosystem built on blockchain technology that operates without traditional intermediaries such as banks or brokerages. Instead, DeFi protocols leverage smart contracts on blockchain networks to facilitate financial transactions and services. The benefits of DeFi include:

- Accessibility: Anyone with an internet connection can access DeFi services anytime, removing barriers associated with traditional finance.
- Transparency: Transactions are recorded on the blockchain, ensuring transparency and reducing the potential for fraud.
- Control: Users maintain control over their assets and financial decisions without relying on intermediaries.

DeFi is reshaping the financial landscape by leveraging blockchain technology to create a more open, transparent, and accessible financial system. As the ecosystem evolves, it has the potential to revolutionize how we interact with financial services.

**Course Structure**

This course is divided into two main parts: smart contract development and an introduction to DeFi. Initially, we will focus on programming smart contracts, which will later aid in analyzing the complex codebases of modern DeFi protocols. The second part will cover the fundamentals of DeFi, including decentralized exchanges (DEX) and lending protocols. We will use well-known protocols such as Uniswap and Compound as case studies to explore their architecture, underlying mathematics, and operational mechanisms.

Each class is structured into two sections: the first two hours (19:30 - 21:30) will be dedicated to the regular course material, while the last 30 minutes (21:30 - 22:00) will be reserved for TA hours or DeFi news. During TA hours, students can ask questions, and if there is no questions, TAs or students may share the latest developments in the DeFi space. Discussions may cover technical aspects, mechanisms, and economic considerations, but will exclude discussions about coin prices.

**Course Material**

This course will focus on the Ethereum ecosystem, including all EVM-compatible chains, but will not cover ecosystems such as Solana, Aptos, or Sui. We will use Solidity as our smart contract programming language and Foundry as our testing framework throughout the course and assignment.

**Disclaimer**

During the course, you may need to use your private key for sending on-chain transactions. Be aware that exposing or sharing your private key can be dangerous. Ensure you keep your private key secure, as we are not responsible for any financial losses resulting from its compromise.

**Course Enrollment**

To enroll in this course, please complete the homework 0 and fill out the application form. We will send you the course code when the semester starts.

Homework 0: https://drive.google.com/file/d/1gQpB_HRocImV0PU1NEj6_HquK0yWJQBt/view?usp=drive_link

Application Form: https://forms.gle/sBP6Rw7m6WJZmBkx8