17-Point Risk Inspection

This checklist provides a framework for examining Amulet's strategies, encompassing market, security, and operational risks. It aims to empower informed decision-making and prompt issue resolution, aligning with Amulet's commitment to ensuring the longevity of your assets. Serving as a valuable reference for personal risk management planning, Amulet's hope is that it increases your understanding of Web3 yield opportunities. Grounded in the Amulet team's expertise in Web3 markets, security, technology, insurance, and finance, the checklist offers valuable insights and objective assessment criteria.

Security Risk


SC Audit Report

Whether the vault's smart contract has undergone formal auditing


Open-Source Code

Whether the code is publicly available on GitHub for review and collaboration


Bug Bounty

Whether there are official activities to reward individuals for identifying and reporting smart contract issues.


GitHub Test Cases

Whether there is a sufficiency of test cases provided in the GitHub repository for the protocol.


Technical Documentation

Whether there is an availability of technical documentation detailing the technical architecture.


Decentralized Oracle

Whether the underlying protocol either employs decentralized oracles or does not use oracles.


Independent Contract

Whether there is no integration or interoperability with other external smart contracts.


SC Immutability

Whether there is no upgradability or modifiability allowed within the protocol. (Delegate Call/ Proxy/Upgradable)


Multi-Sig SC Deployment

Whether the underlying protocol utilizes multi-signature functionality for managing smart contract deployments

Market Risk


Instant Withdrawals

Whether users can unstake and retrieve funds from the protocol without delay.


Impermanent Loss Risk

Whether the assets staked in the underlying pool are not subject to having their value in the pool diverge from their value in the user's wallet which may cause the user to experience loss if the pool fails to rebalance before withdrawal. Impermanent loss is particularly prevalent in automated market makers as the quantities of assets in the pool change due to pool trading activity


Liquidation Risk

Whether the assets are not immediately subject to liquidation measures or mechanics. Some protocols initiate liquidation measures to recover bad debt.


Credit Risk

Whether the protocol does not face credit risks related to the yield vehicles used in the vaults.

Operational Risk


Team Profiles

Whether the team behind the protocol has publicly disclosed their profiles


Zero Exploits

Whether there is no history of attacks or exploits against the protocol.


Safety Modules

Whether there is a dedicated module is in place to manage and counter security breaches.


Slashing Risk

Whether the assets are not exposed to staking penalties usually found in Proof-of-Stake type investments.

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