Risks
At launch, Opus relies on a superuser admin that is able to grant and revoke all roles. This is necessary to allow the protocol to respond in a timely manner in case of any unforeseeable events, as well as to iterate at a faster pace. A compromised or malicious admin can cause catastrophic damage across the entire protocol. Using Opus therefore requires you to trust that the admin is honest.
Eventually, this admin functionality will be handed over to governance, and the Opus protocol will also ossify as parameters either become autonomous or unadjustable.
What are the risks of using Opus?
If you borrow CASH and your Trove is liquidated, you will lose part of or all your collateral.
While there are various mechanisms in place to steer the market price of CASH towards its peg price, it is not guaranteed that CASH will be perfectly pegged to the USD at all times, and it is likely that the market price will deviate slightly in either direction depending on the market conditions.
Users who provide CASH to the Absorber may receive liquidated assets of a lower value than that they have provided in liquidity, depending on the market conditions. This is akin to taking a long position on the collateral accepted by Opus, and may be viewed as impermanent loss.
While Opus takes security very seriously and diligently audits its contracts, a bug or a hack may still occur that results in losses for users of Opus.
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