Is Stride Safe?

|Liquid Staking
B

Risk Grade: B (23/100)

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

Moderate risk — well-audited and battle-tested liquid staking protocol with strong ICS security backing, though declining TVL and cross-chain dependencies warrant attention.

Stride is the leading liquid staking protocol for the Cosmos ecosystem, supporting stATOM, stOSMO, stDYDX and other IBC-compatible tokens. Users stake their tokens and receive LSTs that automatically earn staking rewards while remaining usable in DeFi. Secured by Cosmos Hub validators through Interchain Security and audited by three firms, Stride has a strong security foundation despite declining TVL from its peak.

TVL

$9M

Mechanisms

6

Interactions

5

Value Grade

C+

Key Risks for Stride Users

1.

Stride relies on IBC Interchain Accounts to manage staked tokens across multiple blockchains — if IBC relayers go down, your tokens remain staked but you cannot redeem or manage them until connectivity is restored

2.

TVL has declined significantly from peak levels, which may affect the protocol's economic sustainability and STRD token value over time

3.

The protocol depends on Cosmos Hub governance decisions — changes to Interchain Security terms could alter Stride's fee structure and economics

Top Risk Factors

  • Stride relies on Interchain Accounts (ICA) across IBC to delegate tokens on host chains — IBC relayer failures or ICA bugs could freeze staked assets or disrupt reward distribution
  • TVL has declined significantly from peak levels, reducing protocol revenue and raising questions about long-term sustainability of the fee model
  • Dependence on Cosmos Hub Interchain Security means Stride's liveness is tied to Cosmos Hub validator set performance and governance decisions

Risk Score Breakdown

Stride's highest risk area is Vitality Risk (6/10). Here's how each dimension contributes to the overall 23/100 score:

Mechanism Novelty3/15
Interaction Severity3/20
Oracle Surface2/10
Documentation Gaps2/10
Track Record5/15
Scale Exposure0/10
Regulatory Risk2/10
Vitality Risk6/10

Read the Full Stride 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.