DeFi Contagion: Stream Finance Losses Spread Risk Across Protocols

Recent financial turmoil within the decentralized finance (DeFi) space has triggered a chain reaction of risk exposure, with losses from Critical Stream Finance impacting multiple protocols. The loss of over $93 million, attributed to assets managed by an external fund manager, has raised serious concerns about contagion spreading across DeFi platforms. Experts warn that interconnected financial systems pose significant risks within the decentralized world, and this incident serves as a stark reminder of how quickly problems can amplify.