Is Bucket CDP Safe?
Risk Grade: C+ (36/100)
Bucket CDP is rated as elevated risk — multiple novel mechanisms and notable interaction risks.
Moderate risk — a well-designed CDP protocol leading the Sui stablecoin market, but correlated collateral liquidation risk and young ecosystem dependencies require careful monitoring.
Bucket Protocol is the leading CDP (Collateralized Debt Position) platform on Sui, allowing users to deposit SUI, BTC, ETH, or liquid staking tokens as collateral to borrow BUCK, an over-collateralized stablecoin pegged to $1. With $14M in TVL and integrations across major Sui DeFi protocols, BUCK holders can also earn yield via the sBUCK Savings Pool. The B- risk grade reflects its proven CDP model with real-time liquidation, balanced against correlated liquidation risk and Sui ecosystem dependencies.
TVL
$15M
Mechanisms
7
Interactions
5
Value Grade
D
Key Risks for Bucket CDP Users
If the crypto market crashes sharply, the collateral backing your BUCK loan could be liquidated — in extreme scenarios, the protocol may accumulate bad debt that causes BUCK to lose its $1 peg
BUCK's usefulness depends on continued support from other Sui DeFi protocols — if major platforms stop accepting BUCK, demand drops and the stablecoin could depeg
Sui is a relatively new blockchain — smart contract risks and infrastructure immaturity could affect the security of your collateral deposits
Top Risk Factors
- •BUCK stablecoin relies on real-time liquidation mechanisms — if oracle price feeds lag during rapid SUI price declines, undercollateralized positions may not be liquidated fast enough, creating bad debt
- •Multi-collateral CDP with SUI, BTC, ETH, and LSTs creates correlated liquidation risk — a broad crypto downturn triggers simultaneous liquidations across all collateral types
- •Sui ecosystem is relatively young — BUCK's utility and stability depend on continued growth of Sui DeFi integrations (Cetus, Navi, Scallop) that provide demand sinks for the stablecoin
Risk Score Breakdown
Bucket CDP's highest risk area is Vitality Risk (6/10). Here's how each dimension contributes to the overall 36/100 score:
Read the Full Bucket CDP Risk Report
This protocol has 2 collapse scenarios. 2 high-severity interaction risks identified. See the full mechanism classification, interaction matrix, and deep-dive recommendations.
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