Definition ∞ An asymmetrical agreement refers to a contract or arrangement where parties possess unequal rights, obligations, or informational advantages. In cryptocurrency, this might pertain to smart contracts where one party holds more control or bears greater risk. Such arrangements can influence the distribution of rewards or liabilities within a decentralized application. This disparity can arise from differing access to data or varying levels of authority in a protocol.
Context ∞ The discussion of asymmetrical agreements often arises in decentralized finance (DeFi) protocols, particularly concerning governance structures or lending platforms. Understanding these power imbalances is crucial for assessing risk and fairness in digital asset investments. Regulatory bodies might scrutinize such agreements for potential user protection issues.
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