Is Infrared Safe?
Risk Grade: B- (30/100)
Infrared is rated as moderate risk — some novel mechanisms, generally well-understood.
Moderate risk — dominant position on a brand-new chain whose core economic mechanism has zero track record
The largest protocol on Berachain, wrapping the chain's unique proof-of-liquidity rewards into liquid tokens (iBGT, iBERA) you can use across DeFi. It manages $1.6B with $16.5M in funding. Its C+ grade reflects deep dependency on Berachain's untested consensus mechanism and validator concentration.
TVL
$84M
Mechanisms
8
Interactions
5
Value Grade
C
Key Risks for Infrared Users
Everything depends on Berachain's novel proof-of-liquidity system working correctly. If that mechanism breaks, Infrared's tokens become worthless wrappers around nothing
Infrared runs its own validator set controlling a large share of Berachain's security. A slashing event or validator failure hits all $1.6B in delegated assets
iBGT can lose its peg on the thin Berachain trading markets. A 5% depeg triggers liquidations across every lending protocol using iBGT as collateral, deepening the spiral
Top Risk Factors
- •Deep dependency on Berachain's novel and untested Proof of Liquidity consensus — if PoL fails, Infrared's entire value proposition collapses
- •Validator concentration risk: Infrared operates its own validator set, creating single-point-of-failure for $1.6B in delegated assets
- •iBGT depeg risk amplified by thin Berachain DeFi liquidity — a 5% depeg could cascade through leveraged positions across the ecosystem
Risk Score Breakdown
Infrared's highest risk area is Vitality Risk (5/10). Here's how each dimension contributes to the overall 30/100 score:
Read the Full Infrared Risk Report
This protocol has 2 collapse scenarios. 3 high-severity interaction risks identified. See the full mechanism classification, interaction matrix, and deep-dive recommendations.
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