IntroductionIn the ever-evolving landscape of decentralized finance (DeFi), a groundbreaking concept is making waves – isolated pools. To truly understand the significance and potential of isolated pools, we must first delve into the nature of common pools that currently dominate the DeFi lending market.The Limitations of Common PoolsCapital Efficiency vs. Risk Exposure Many lending markets operate on a common collateral pool model. In this model, all assets are deposited into a single liquid...