AML in DeFi: Can Smart Contracts Automate Compliance Without Centralization?
The rise of Decentralized Finance (DeFi) has revolutionized financial transactions, enabling users to trade, borrow, and lend assets without intermediaries. However, DeFi’s permissionless and pseudonymous nature poses significant challenges for Anti-Money Laundering (AML) compliance. Traditional financial institutions use centralized compliance mechanisms, such as Know Your Customer (KYC) checks and transaction......