The BIS Working Paper "DeFi Leverage" by Lioba Heimbach and Wenqian Huang explores the topic of leverage in decentralized finance (DeFi). The authors use the keywords "leverage, collateralised borrowing, decentralised finance, automated algorithm" to highlight the focus of the paper. The authors thank several individuals for their helpful comments, including Raphael Auer, Mike Alonso, Andrea Barbon, AgostinoCapponi, Jonanthan Chiu, Pedro Cuadros Solas, Marc Glowka, Alfred Lehar, Cyril Monnet, Theo Nijman, Andreas Schrimpf, Vlad Sushko, Nikola Tarashev, Ganesh Viswanath-Natraj, Shihao Yu, Ariel Zetlin-Jones, Shengxing Zhang, Marius Zoican, and participants at the Bank for International Settlements research meeting, PSE workshop on central clearing and market infrastructures: new challenges, Gerzensee summerworkshop in Money, Payments, Banking and Finance, the Swiss National Bank Technology and Financeseminar, INQUIRE UK conference, the CEMLA conference and the EBA policy research workshop. The authors acknowledge financial support from the INQUIRE Europe research grant.
