How Does OpenGDP Shared Security Work?

Restaking|Risk C+|5 mechanisms|4 interactions

OpenGDP (formerly Karak Network) is a multi-asset restaking protocol allowing users to restake ETH, WBTC, and stablecoins to secure decentralized services with $34M TVL. Its C+ grade reflects novel multi-asset and multi-chain restaking creating leverage-like exposure, cross-chain bridge dependencies, and execution risk from a recent rebrand and L1 pivot.

TVL

$7M

Sector

Restaking

Risk Grade

C+

Value Grade

D-

Core Mechanisms

8.3.1

Novel

Multi-asset restaking securing DSS across Ethereum, Arbitrum, and OpenGDP L1

Novel: extends restaking to multi-asset and multi-chain

3.2.1

Algorithmic slashing for DSS misbehavior

Standard slashing model

3.1.1

Pro-rata reward distribution from DSS fees

Standard reward distribution

8.1.3

Novel

Cross-chain messaging for multi-chain restaking

Novel cross-chain restaking coordination

5.1.1

GDP token governance

Standard governance

How the Pieces Interact

Multi-asset restaking↔Correlated DSS slashingHigh

Same collateral backing multiple DSS creates leverage-like exposure from simultaneous slashing

Cross-chain restaking↔Bridge dependenciesHigh

Bridge failures could prevent timely slashing or rewards, creating inconsistent security guarantees

Multi-asset collateral↔Collateral correlationMedium

All restaked asset types could lose value simultaneously during crypto downturns

GDP governance↔DSS approval processMedium

Approving low-quality DSS could expose restakers to unnecessary slashing risk

What Could Go Wrong

  1. Multi-asset restaking creates correlated slashing risk — if a DSS has issues, restaked ETH, WBTC, and stablecoins could be simultaneously slashed.
  2. Same collateral backing multiple DSS creates leverage-like risk where one validator failure cascades across all services.
  3. Recent rebrand from Karak to OpenGDP and pivot to L1 introduces execution risk.
  4. Multi-chain restaking introduces bridge dependencies for staking operations.

Correlated DSS Slashing Cascade

Moderate

Trigger: Two or more DSS trigger slashing simultaneously during market downturn, with total slashing exceeding 30% of restaked value

  1. 1.Market downturn stresses multiple DSS — Multiple DSS trigger slashing conditions simultaneously
  2. 2.Restakers backing multiple DSS face compounded slashing — Total slashing exceeds single-DSS expectations
  3. 3.Cross-chain delays prevent timely slashing on some chains — Inconsistent slashing creates arbitrage issues
  4. 4.Restakers rush to unstake remaining collateral — Security backing drops below safe thresholds
  5. 5.DSS users lose confidence — DSS ecosystem contracts
See all 2 collapse scenarios in the full risk report →

Risk Profile at a Glance

Mechanism Novelty6/15
Interaction Severity8/20
Oracle Surface2/10
Documentation Gaps4/10
Track Record6/15
Scale Exposure0/10
Regulatory Risk3/10
Vitality Risk7/10
C+

Overall: C+ (36/100)

Lower score = safer

More on OpenGDP Shared Security

Is OpenGDP Shared Security Safe?

Safety analysis

Is OpenGDP Shared Security a Good Investment?

Value analysis

Full Risk Report

All mechanisms & interactions

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