to a financial instrument whose value is resulting from a commodity named as underlier

A financial derivative refers to a financial instrument whose value is resulting from a commodity named as underlier.

contracts that base their value on an underlying asset

Financial derivatives, as mentioned above, are contracts that base their value on an underlying asset.

the most common application of “smart contracts” and one of the easiest to implement in code

Financial derivatives are the most common application of “smart contracts” and one of the easiest to implement in code.

a contract that specifies how payments or financial assets are exchanged between two parties based on the value of an underlying financial asset

A financial derivative is a contract that specifies how payments or financial assets are exchanged between two parties based on the value of an underlying financial asset.

financial instruments that are linked to another specific financial instrument, indicator, or commodity and through which specific financial risks can be traded in financial markets in Banks's own right

Financial derivatives are financial instruments that are linked to another specific financial instrument, indicator, or commodity and through which specific financial risks can be traded in financial markets in Banks's own right.

a contract between two parties, where the value of the contract is based on an underlying asset or group of assets, such as stocks, bonds, commodities, crypto-currencies, or interest rates

A financial derivative is a contract between two parties, where the value of the contract is based on an underlying asset or group of assets, such as stocks, bonds, commodities, crypto-currencies, or interest rates.

cash flows that are conditioned stochastically and discounted to present value

From the economic point of view, financial derivatives are cash flows that are conditioned stochastically and discounted to present value.

a category of securities that include futures, options, forwards and swaps

Financial derivatives are a category of securities that include futures, options, forwards and swaps.