Is Project 0 Safe?
Risk Grade: B- (29/100)
Project 0 is rated as moderate risk — some novel mechanisms, generally well-understood.
Project 0 brings a genuine innovation (multi-venue unified margin) to Solana DeFi, backed by strong investors and rapid adoption. However, unified margin is a double-edged sword — it improves capital efficiency but creates cross-venue liquidation risk that doesn't exist when using protocols independently. Very new with untested code under market stress. Suitable for sophisticated DeFi users who understand leverage risks, not for passive depositors.
Project 0 is a DeFi prime broker on Solana that lets you borrow against your entire portfolio, even if your assets are spread across different lending and trading platforms (Kamino, Drift, Jupiter). Instead of managing separate collateral on each platform, Project 0 treats everything as one account — making your capital more efficient.
TVL
$46M
Mechanisms
5
Interactions
4
Value Grade
D-
Key Risks for Project 0 Users
If one of your positions drops sharply on Drift, it can trigger liquidation of your Kamino deposits too — all positions are connected
The protocol launched in September 2025 and hasn't been through a major market stress test yet
Much of the current TVL may be from airdrop farmers who will leave when the token launches
Top Risk Factors
- •Unified margin across multiple protocols creates correlated liquidation risk — a failure in one venue can cascade to all positions
- •Very new protocol (launched Sept 2025) with limited battle-testing despite rapid TVL growth ($230M supplied in 48 hours)
- •Built on marginfi infrastructure — inherits any legacy technical debt or vulnerabilities from that codebase
How Project 0 Compares to Peers
Project 0 ranks #11 of 90 Lending protocols (top quartile — safer than most). At a risk score of 29/100, it's 8 points safer than the sector average of 37/100.
Adjacent peers: Scallop (B-, 28/100) is ranked just safer, and Aave Aptos (B-, 29/100) is ranked just riskier.
See the full Lending sector leaderboard or the Project 0 vs Aave Aptos comparison.
Common Questions about Project 0
Plain-English answers based on Project 0's scores across Hindenrank's 8 risk dimensions. The highest-scoring (riskiest) dimension is Regulatory Risk (5/10).
Has Project 0 ever been hacked or exploited?
Project 0 has a fairly clean operational history. The track record dimension scored 1/15, indicating minor or no significant incidents on record. A clean track record is a positive signal but it does not guarantee future safety, especially as protocol complexity grows.
How much money is at stake in Project 0?
Project 0 currently holds roughly $46M in user deposits. Smaller TVL means individual depositors carry a larger share of any loss event, and it can be harder to exit a position quickly during stress.
What's the worst-case scenario for Project 0?
Hindenrank has identified specific collapse scenarios for Project 0. The most prominent: "Cross-Venue Liquidation Cascade". The trigger condition is A sharp market move triggers liquidations in Drift perpetuals that cascade into Kamino lending positions via Project 0's unified margin. Reading through the full scenario list on the protocol page is the single best way to understand the actual failure modes — generic "smart contract risk" is rarely the thing that takes a protocol down.
Is Project 0 regulated or insured?
Project 0 has some regulatory exposure (5/10), typical of mid-sized DeFi protocols. There is no specific enforcement action on record, but the structure includes elements that regulators have flagged in similar protocols. No DeFi protocol carries FDIC-style insurance — even with low regulatory risk, depositors are not protected in the way bank customers are.
What are the biggest red flags for Project 0?
Hindenrank's retail-focused risk audit flagged: If one of your positions drops sharply on Drift, it can trigger liquidation of your Kamino deposits too — all positions are connected The protocol launched in September 2025 and hasn't been through a major market stress test yet Much of the current TVL may be from airdrop farmers who will leave when the token launches
Should beginners deposit into Project 0?
Project 0 is rated B-, which is acceptable for users who understand the protocol's mechanism. Beginners should read the full risk breakdown and only deposit after they can articulate the top three failure modes. If you cannot explain how the protocol works, do not deposit.
How does Project 0 compare to safer Lending alternatives?
Project 0 is one protocol in Hindenrank's Lending coverage. The safest Lending protocols on the leaderboard tend to share three traits: a long incident-free track record, conservative mechanism design, and high-quality public documentation. Compare Project 0 against the full Lending ranking before committing capital.
For the full 8-dimension score breakdown, the radar chart, and dependency graph, see the Project 0 risk report.
Read the Full Project 0 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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