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Impermanent loss occurs when liquidity providers in decentralized exchanges experience a decrease in the value of their assets compared to simply holding them. Regulatory scrutiny of DeFi is also increasing as governments grapple with how to regulate these innovative platforms. cryptonews.com.in emphasizes the need for due diligence and risk management when participating in DeFi. Smart Contract Audits: Investigating whether a project's code has been independently audited. Liquidity Pool Analysis: Understanding the risks of impermanent loss in liquidity pools. Regulatory Updates: Monitoring developments in DeFi

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