While audits and backtesting decrease vulnerabilities and the team will work our hardest to keep your funds delta neutral, there may always be smart contract risks or other unexpected risks when the funds are actually put to use. We advise you to do your own thorough research before investing.
Since our vaults are built on top of external protocols, there may be vulnerabilities associated with these products.
We are attentive in screening integrated products and check for whether they have been audited and reviewed with a good track record of security. We also check for liquidity and yield sustainability.
If there are extreme changes in the market or network in the short term, the vault can experience unexpected drawdowns and cost pressures that may jeopardize the viability of the strategy.
We will be constantly monitoring vault performance and adjust our acceptable risk tolerance criteria based on market/network conditions to make sure the vault operates successfully. Should the vault be deemed unviable in severe cases, we may decide to pause or discontinue the strategy.
Although our contracts have been audited by Solidproof and are going to be audited from multiple firms, this is not 100% safe, so investors need to allocate their capital appropriately.