Rhea Finance
  • Introduction
  • RHEA Finance White Paper
  • Genesis
  • Tokenomics
  • Governance
  • Community
  • Team
  • Getting Started
    • Setup Wallet
    • Using the Rainbow Bridge
    • Using the Platform
    • Buy REF Token
    • Staying Safe
  • RHEA Finance
    • Overview
      • Auto Router
      • Multi-chain Router
      • Pooling
      • Staking
      • RHEA V2 & DCL Pools
      • Aggregator Bridge
    • Guides
      • Lending & Borrowing
        • Audits & Risks
        • Supplying
        • Borrowing
        • APY
        • Health Factor
        • LP as Collateral
        • How Lending & Borrowing works
          • Health Factor
          • Interest Rate Model
          • Liquidations
          • Oracle
        • Step by Step Guide
      • Trade
        • Swap
        • Limit Orders
      • Liquidity Management
        • Classic Pools
        • Stable & Rated Pools
        • RHEA v2 Pools
      • Farming
      • Staking
      • Aggregator Bridge
      • RHEA Point System
  • SECURITY
    • Contracts
    • Guardians
    • Oracles
    • Audits
    • Bug Bounty
  • DEVELOPERS
    • CLI Trading
    • CLI Farming
    • RHEA SDK
  • SUPPORT
    • FAQ
    • Help
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  • Audits
  • Risks
  • Smart Contracts Risks
  • Liquidation
  • Bad Debt

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  1. RHEA Finance
  2. Guides
  3. Lending & Borrowing

Audits & Risks

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Last updated 27 days ago

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Audits

The Lending & Borrowing Platform has undergone two smart contract audits by the independent auditing firm between February and March of 2022.

For the full reports, see below:

Audits, though a good practice to maintain security standards and minimize potential risks, are not an end-all-be-all when it comes to protocol security. The completed audit of specific contracts does not equate to the security of the entire protocol and does not relate to other layers of risk such as runtime pricing or the human influence on protocols. Moreover, security does not mean the elimination of risk inherent in financial products: always do your own research and manage risk appropriately.

Risks

Although we take a multitude of safety precautions and the contracts have been audited, participating in DeFi comes with certain risks. Below is a list of potential risks associated with using the protocol.

Smart Contracts Risks

While our smart contracts have been audited by third-party firms, they could theoretically have vulnerabilities.

Liquidation

Assets that are deposited or borrowed on the protocol could fluctuate in value due to the systemic risks of the issuing platforms or market volatility, including the loss of peg of certain pegged assets. This could result in the or closing of a user's position.

Bad Debt

The risk of debt accrued by underwater positions in case liquidators do not liquidate in time during a period of high market volatility.

While we do our best to eliminate all the possible risks, DeFi is an industry where events that no one predicted can occur(the dreaded black swans). So please don’t invest your life savings, or risk assets you can’t afford to lose. Try to be as careful with your funds as we are with our code.

BlockSec
Security Audit Report by BlockSec, February 2022
Security Audit Report by BlockSec, March 2022
liquidation
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