Lending Market Asset Risk

The composability of the DeFi ecosystem implies risks from an individual component flow into all dependent systems. Tokens are at the heart of Pawnfi protocol as they enable operations and cash flow, and lay the foundation for assets/ liabilities structure of the whole financial system.

This documentation, composed by Pawnfi Risk Management Team, focuses on the risk assessment for tokens supported on Pawnfi. The risk assessment takes market, counter-party and smart contract risks for the tokens listed by Pawnfi protocol into consideration, aiming to set up the highest risk standard within DeFi.