Risk disclosure

Collateral is valued from a price feed. If its value falls below the required level, part of the collateral is sold into the pool at a discount to cover the debt. This can happen at any hour, without warning, and the loss is permanent.

Valuation depends on an external oracle. If a feed stalls, returns an invalid price, or the network sequencer is down, the protocol refuses to draw or liquidate until it recovers. Positions can be stuck in that window.

The contracts are new. They carry tests, invariants and static analysis, and they have not completed an independent security audit. Assume software can fail and do not deposit funds you cannot afford to lose.

Tokenized assets are claims on an issuer. If the issuer freezes transfers, fails to honour redemptions, or the legal wrapper breaks, the token can lose its value regardless of what the price feed reports.

In profit and loss sharing, the operator runs the capital and the funders carry genuine losses. There is no principal protection and no guaranteed return.

Withdrawals are served from idle liquidity. When most of the pool is deployed to loans, a withdrawal may have to wait until borrowers repay or positions are liquidated.

No interest accrues over time. An origination fee applies when you borrow, and a redemption fee applies when you close your position, regardless of profit or loss.