Public Key Block by Block: Assessing The Risk In DeFi Protocols
Block by Block: Assessing The Risk In DeFi Protocols
The last 2 months of the cryptocurrency industry has been filled with DeFi Hacks, Crypto exchange collapses and industry wide fear, uncertainty and doubt.But what if some of that uncertainty could have been proactively identified and some of the risks mitigated?
In this episode, Ian Andrews (Chief Marketing Officer, Chainalysis) sat down with Nick Cannon (VP of Growth at Gauntlet). They talk about Gauntlet’s financial modelling platform that uses techniques from the algorithmic trading industry to improve DeFi protocol risk management.
Nick shares how Gauntlet has helped DeFI pioneer, Aave improve protocol revenue without taking on additional risk and how they were early to recommend customers not accept tokens like Terra’s UST and FTX’s FTT tokens.
Minute-by-minute episode breakdown- (2:45) – What is Gauntlet Network and how do they support the DeFi ecosystem
- (8:39) – Using historical data to determine liquidation risks for projects
- (11:01) Taking into a DeFi protocols risk appetite when creating a risk assessment and exposing vulnerabilities
- (16:05) – How the transparency of DeFi protocols helps protect against major crypto collapses like FTX and Three Arrows Capital
- (18:51) –Unraveling the Mango Market vulnerability and how Gauntlet assess the DeFi protocol’s risk
- (22:55) - Analyzing Token Quality when creating holistic risk assessments on the Gauntlet Platform
- (24:46) - Why Proof of Reserves may not tell the whole story and how we can improve the crypto exchange audit process
Check out more resources provided by Chainalysis that perfectly complement this episode of the Public Key.
- Blog: Post FTX Market Updates
- Blog: Impact Measurement: Aave - A Case Study
- Medium:Gauntlet Blog Website
- Website: Gauntlet uses battle-tested techniques to inform on-chain protocol management.
- Blog: Chainalysis Storyline is Here: Transparency and Clarity for Web3
- Webinar: Intro to Storyline: A Two-Part Series: Understand, Investigate, Communicate DeFi Transactions
- Website: Aera: The world’s first autonomous, data-driven treasury management protocol.
- Twitter: Chainalysis Official Twitter Page: Building trust in blockchains
- Ian Andrews * Host * (Chief Marketing Officer, Chainalysis) https://www.linkedin.com/in/ianhandrews
- Nick Cannon (VP of Growth, Gauntlet) https://twitter.com/inkymaze
This website may contain links to third-party sites that are not under the control of Chainalysis, Inc. or its affiliates (collectively “Chainalysis”). Access to such information does not imply association with, endorsement of, approval of, or recommendation by Chainalysis of the site or its operators, and Chainalysis is not responsible for the products, services, or other content hosted therein.
Our podcasts are for informational purposes only, and are not intended to provide legal, tax, financial, or investment advice. Listeners should consult their own advisors before making these types of decisions. Chainalysis has no responsibility or liability for any decision made or any other acts or omissions in connection with your use of this material.
Chainalysis does not guarantee or warrant the accuracy, completeness, timeliness, suitability or validity of the information in any particular podcast and will not be responsible for any claim attributable to errors, omissions, or other inaccuracies of any part of such material.
Unless stated otherwise, reference to any specific product or entity does not constitute an endorsement or recommendation by Chainalysis. The views expressed by guests are their own and their appearance on the program does not imply an endorsement of them or any entity they represent. Views and opinions expressed by Chainalysis employees are those of the employees and do not necessarily reflect the views of the company.