Liquidation Mechanisms and Price Impacts in DeFi
This paper theoretically and empirically examines the price impacts of liquidations in DeFi and how different liquidation mechanisms affect the price impacts.
Browse all research or check out these related conferences.
Understanding the benefits and risks of digital currencies and electronic payments is important because new technologies and new players could affect the financial system. This in turn could influence how we work to fulfill our core functions. For this reason, we closely monitor fintech developments.
The Bank is conducting research related to a central bank digital currency (CBDC). This is part of its contingency planning to be ready to issue a CBDC in the future if the need were to arise.
Research by Bank staff is produced independently from the Bank’s Governing Council. It may therefore differ from official Bank views. The views expressed in research papers are solely those of the authors. No responsibility for them should be attributed to the Bank.
Latest research
Risk-Free Uncollateralized Lending in Decentralized Markets: An Introduction to Flash Loans
Staff Discussion Paper 2025-6
Jack Mandin
A flash loan is a special type of uncollateralized loan with zero default risk. I document the use for flash loans across major blockchains that are Ethereum-Virtual-Machine-compatible. Flash loans expand access to liquidity, and highly sophisticated actors use them for many practical applications.
Content Type(s):
Staff research,
Staff discussion papers
Research Topic(s):
Digital currencies and fintech,
Financial markets
JEL Code(s):
G,
G0,
G1,
G2
Canadian Bitcoin Ownership in 2023: Key Takeaways
Staff Discussion Paper 2025-4
Daniela Balutel,
Marie-Hélène Felt,
Doina Rusu
The Bitcoin Omnibus Survey is an important tool for monitoring Canadians’ awareness and ownership of bitcoin and other cryptoassets over time. In this paper, we present data highlights from the 2023 survey.
Content Type(s):
Staff research,
Staff discussion papers
Research Topic(s):
Bank notes,
Digital currencies and fintech,
Econometric and statistical methods
JEL Code(s):
C,
C8,
C81,
E,
E4,
O,
O5,
O51
Tech Reluctance: Fostering Empathy for Canadians Facing Challenges with Digital Systems
Staff Discussion Paper 2025-2
Sebastian Hernandez,
Helena Wang,
Badr Omrane,
Vera Roberts,
David Pereyra
We find that individuals who require help performing banking tasks or who are reluctant to adopt technology avoid digital payment systems they expect to lack usability. Addressing these issues through standard accessibility practices, live assistance and thoughtful interface design can enhance user interaction and trust.
Content Type(s):
Staff research,
Staff discussion papers
Research Topic(s):
Accessibility,
Bank notes,
Central bank research,
Digital currencies and fintech,
Digitalization,
Financial services
JEL Code(s):
A,
A1,
A14,
C,
C9,
C90,
D,
D8,
D83,
O,
O3,
O33,
Y,
Y8,
Y80
Latest conferences
November 19, 2015
Electronic Money and Payments
Bank of Canada Conference held on November 19 and 20, 2015.
Content Type(s):
Conferences and workshops
Research Topic(s):
Digital currencies and fintech
October 26, 2015
Payments System Modernization: Opportunities & Challenges
Bank of Canada Conference held on October 26, 2015.
Content Type(s):
Conferences and workshops
Research Topic(s):
Digital currencies and fintech