Flash Loan
Strict Definition
"A type of uncollateralized lending that allows a user to borrow any amount of assets as long as the loan is repaid within the same blockchain transaction."
Liability Check // Risk Analysis
The 'Cheap Attack' risk. Malicious actors use flash loans to borrow millions of dollars in capital for seconds, using it to manipulate oracle prices or exploit smart contract logic with zero capital at risk.
Knowledge Context // Related Terms
Auditor NotesVS-AN-2026
"Recognize flash loans as a tool for extreme capital efficiency (e.g., trustless refinancing) but also a massive risk factor in DeFi security."
"Implement 'Price Time-Weighting' in your oracles to ensure they cannot be manipulated by a single-transaction flash loan."
"Audit the DeFi protocols you use for 'Flash Loan Resistance'—they should have protections against single-transaction price manipulation."
SCHEMA_VER: AEO_3.2
LAST_AUDIT: 2/11/2026
HASH: SEWBKQ