Abbas Musayev

Type of the article: Research ArticleAbstractThis study explores potential factors associated with renewable energy consumption in Azerbaijan by examining the relationships among economic growth, human development, per capita CO₂ emissions, and urban population growth. The analysis applies an exploratory machine learning framework based on the XGBoost algorithm combined with SHapley Additive exPlanations (SHAP) to examine possible nonlinear associations and evaluate the relative contribution of selected socioeconomic and environmental variables. Correlation analysis indicates a negative relationship between renewable energy consumption and CO₂ emissions (−0.55), while human development and economic growth exhibit generally positive associations with renewable energy use, suggesting a possible role of socioeconomic development in the energy transition process. The exploratory model produced performance indicators of R² = 0.81, RMSE = 1.18, and MAE = 1.04, suggesting that the model captures variation within the available sample; however, given the limited dataset, these results should not be interpreted as evidence of strong or robust predictive performance. SHAP-based interpretation suggests that human development and environmental pressure may represent relatively important variables within the model framework, while the effects of economic growth and urbanization appear comparatively moderate and context-dependent. Overall, the study provides preliminary exploratory evidence regarding possible nonlinear patterns linking socioeconomic development, environmental conditions, and renewable energy consumption in Azerbaijan, offering directions for future research using larger datasets and complementary empirical approaches.

The rapid penetration of decentralized financial mechanisms into the structure of Ukraine's cryptocurrency market, where the volume of DeFi transactions consistently exceeds that of centralized platforms, highlights the need for effective tools to maintain the instant solvency of lending protocols during periods of sharp price fluctuations in digital assets. The purpose of this article is to systematize liquidity risks in decentralized financial systems, conduct a comparative assessment of algorithmic strategies for their minimization, and identify ways to enhance the stress resilience of protocols. The methodological basis of the study consists of a taxonomic analysis for classifying types of risks, a comparative analysis of the effectiveness of key liquidity management strategies, economic-mathematical modeling of cascading liquidation processes, and a correlation analysis of the relationship between the magnitude of cryptoasset price declines and the frequency of protocol failures. The empirical basis consists of on-chain data on the transaction activity of leading DeFi protocols for the period 2024–2026. The results show that hybrid configurations–which combine dynamic interest rate regulation with overcollateralization and decentralized oracle networks–demonstrate the highest resilience to extreme volatility. It was found that increasing collateral requirements proportionally reduces the probability of cascading liquidations, but simultaneously limits the protocol's capital efficiency, highlighting the need to optimize these parameters. It has been established that compositional links between protocols create a domino effect: a local liquidity shortage in one pool can trigger a chain of forced liquidations in adjacent systems within a critically short time frame. The scientific novelty lies in the development of a typologized scheme for neutralizing liquidity threats, which, unlike existing ones, integrates sentinel oracle, execution liquidation, and reserve insurance instruments into a unified protocol risk management system. The method for estimating margin call thresholds has been improved to account for the historical volatility of specific cryptoassets. The practical significance of the obtained results lies in their potential use by DeFi protocol architects and smart contract developers when designing risk management systems, configuring liquidation auction parameters, and selecting the optimal configuration of oracle networks for the Ukrainian crypto market.

Small businesses play a critical role in the global economy by driving innovation, creating jobs and contributing to local communities. Small businesses, defined by their size, typically with fewer employees and lower revenues than large corporations, are diverse and dynamic businesses operating in a variety of industries. Small businesses in Azerbaijan are growing steadily, thanks to a combination of government initiatives, a growing startup ecosystem and a young, tech-savvy population. The country, located at the crossroads of Eastern Europe and Western Asia, views innovation as a key factor in economic development. Government support for small businesses has played an important role in the development of entrepreneurship. Initiatives such as tax incentives, financing programs and simplified regulatory processes are aimed at creating an enabling environment for startups. Azerbaijan’s strategic location and rich natural resources have also opened up opportunities in various sectors, from agriculture to technology. In recent years, the field of technology startups in Azerbaijan has been gaining momentum. Baku, the capital, has become a hub of innovation, hosting events, incubators and accelerators that nurture local talent. Young entrepreneurs are using technology to create solutions that solve both local and global problems. Fintech, agritech and medtech are just some of the sectors that are seeing notable innovation. Despite progress, challenges remain such as access to finance, market competition and the need for further infrastructure development. However, the entrepreneurial spirit in Azerbaijan remains strong, with a growing emphasis on collaboration, knowledge sharing and mentoring. As small businesses continue to drive economic diversification and technological progress, Azerbaijan is positioning itself as a promising landscape for innovative entrepreneurship.