Is DigiFT Safe?

|RWA
B-

Risk Grade: B- (34/100)

DigiFT is rated as moderate risk — some novel mechanisms, generally well-understood.

DigiFT offers a regulated, institutional-grade approach to RWA tokenization with meaningful dual-jurisdiction licensing. However, it inherits traditional custodial risks while adding DeFi composability complexity. The permissioned model limits liquidity but provides regulatory clarity. Moderate risk profile suitable for institutional RWA exposure.

DigiFT is a regulated exchange for tokenized real-world assets (US Treasuries, bank bonds, money market funds) licensed by both Singapore's MAS and Hong Kong's SFC. It enables institutional investors to buy, sell, and use tokenized securities on-chain, with recent integrations allowing these tokens to serve as DeFi collateral.

TVL

$189M

Mechanisms

6

Interactions

4

Value Grade

D+

Key Risks for DigiFT Users

1.

Assets are held by traditional custodians — if a custodian fails, your tokens may not be immediately redeemable

2.

KYC requirements mean you need to be verified to trade, limiting who can buy your tokens if you need to sell

3.

Regulatory changes in Singapore or Hong Kong could restrict platform operations

Top Risk Factors

  • Centralized custody of underlying RWA assets (US Treasuries, bank bonds, MMFs) introduces counterparty risk if custodians fail or freeze assets
  • Regulatory concentration — dual MAS/SFC licensing means adverse regulatory action in either Singapore or Hong Kong could halt operations
  • Permissioned token transfer restrictions limit secondary market liquidity, creating potential redemption bottlenecks during market stress

Risk Score Breakdown

DigiFT's highest risk area is Regulatory Risk (8/10). Here's how each dimension contributes to the overall 34/100 score:

Mechanism Novelty5/15
Interaction Severity6/20
Oracle Surface3/10
Documentation Gaps2/10
Track Record2/15
Scale Exposure5/10
Regulatory Risk8/10
Vitality Risk3/10

Read the Full DigiFT Risk Report

This protocol has 2 collapse scenarios. 1 high-severity interaction risks identified. See the full mechanism classification, interaction matrix, and deep-dive recommendations.

View Full Report →

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Ratings use Hindenrank's eight-dimension risk rubric. Lower score = lower risk. Grades range from A (safest) to F (riskiest). This is not financial advice.