Decentralized Finance (DeFi)

Looping

Also: Recursive Lending, Leveraged Staking

Depositing collateral, borrowing against it, buying more of the same asset, depositing that, and repeating, to build a larger position than you could afford outright. It magnifies gains and losses and leaves less room before liquidation.

General education, not investment, legal or tax advice. Markets and regulation change quickly: where a definition depends on current law or on a recent event, check the latest coverage before relying on it.