Efficient Market Theory (EMT) is a doctrine whereby the price of an asset already takes in to account all information available and it reflect its true value.

In other words, according to this theory, it is impossible for investors to consistently beat the market because all relevant information is already reflected in asset prices.

In the context of DeFi, EMT is often discussed in relation to the potential impact of new technologies and innovations on financial markets.

Some people argue that the rise of DeFi and other technologies could lead to more efficient markets, as information is more easily accessible and can be processed more quickly. Others believe that EMT is a flawed theory and that there are still opportunities for investors to outperform the market, even in a DeFi environment.

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