Section 1: Cognitive Biases – Mental Traps of DeFi (Slides 1-9) 🎭 The Big Three Account Killers 💀 🔴 Confirmation Bias – How seeking only supporting information destroyed Terra/LUNA holders who ignored economist warnings 🔴 FOMO (Fear of Missing Out) – Why buying after 1000% pumps (like Dogecoin) consistently fails 🔴 Loss Aversion – The psychological trap that makes losses feel twice as painful as gains, leading to holding losers too long Secondary Biases Covered 🔍 Anchoring Bias, Herd Mentality, Overconfidence, Recency Bias, Availability Heuristic, and Disposition Effect Practical Tools Included 🛠️ ✅ Pre-trade bias checklist for every DeFi decision ✅ Emergency protocols for when FOMO strikes ✅ The 48-hour rule and bias detection systems Section 2: Risk Management Psychology (Slides 10-15) ⚠️ The Three Types of Risk That Destroy Accounts 💸 1️⃣ Ruin Risk – Losing so much you can't recover (never risk more than 2% per position) 2️⃣ Emotional Risk – Positions so large they destroy your judgment (if you check more than 3x daily, it's too big) 3️⃣ Opportunity Risk – Positions too small to matter, leading to desperate over-trading Key Frameworks 🎯 🧩 System 1 vs System 2 thinking for position sizing 🧩 The psychology of drawdowns (5 stages: Denial, Anger, Bargaining, Depression, Acceptance) 🧩 DeFi-specific traps: impermanent loss delusion, high-APY comfort zones, audit false security Anti-Fragile Systems 🛡️ 📊 Conviction-based position sizing (10/10 conviction = 5% max, 6/10 = 1% max) 📊 Diversification across protocols, chains, and risk levels 📊 Emergency protocols for 10%, 20%, and 35% portfolio drawdowns 🎯 Why This Matters for DeFi Traders As Jesse Livermore observed: "The market does not beat them — they beat themselves." In 24/7 DeFi markets with extreme volatility and social media amplification, psychological mistakes happen faster and cost more than ever. 💡 Real DeFi Examples Throughout Every concept is illustrated with actual DeFi scenarios: 🔸 Terra/LUNA confirmation bias disaster

Powell didn't rug us!!! =)

Hello everyone and welcome. As we begin building out DeFi University together, please know that any ideas you may have for a new tool, a new live call, a new course, anything that you'd like to build or incorporate in to add more value for us, the community members, that is 100% a yes here. This community is AI first, which simply means that we learn together how to use AI tools to build what will generate more value for us, the community members. We hope to foster an environment of learning and growth in many different areas of life within our DeFi University community, and now with these new AI tools any suggestion that any member has which will add value can quickly be built out and incorporated in. It's a very exciting and transformative time that we live in. To foster a sense of community spirit, please introduce yourself in the general chat as you join, and share a bit about yourself so that we can all get to know one another better. Live calls in the community take place every day Monday through Friday and they are open to all members. See you on the next live call and in the DeFi U chats! -David