Bucket CDP
Moderate risk — a well-designed CDP protocol leading the Sui stablecoin market, but correlated collateral liquidation risk and young ecosystem dependencies require careful monitoring.
Top Risks
1
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
2
Multi-collateral CDP with SUI, BTC, ETH, and LSTs creates correlated liquidation risk — a broad crypto downturn triggers simultaneous liquidations across all collateral types
3
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 Breakdown
Frequently Asked Questions
Is Bucket CDP safe to use?
Bucket CDP receives a C+ risk grade (36/100) from Hindenrank, where lower scores indicate lower risk. 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.
What are the main risks of using Bucket CDP?
The key risks identified for Bucket CDP are: (1) 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 (2) 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 (3) Sui is a relatively new blockchain — smart contract risks and infrastructure immaturity could affect the security of your collateral deposits
What is Bucket CDP's risk score breakdown?
Bucket CDP scores 36/100 across eight risk dimensions: Mechanism Novelty: 3/15, Interaction Severity: 6/20, Oracle Surface: 5/10, Documentation Gaps: 2/10, Track Record: 6/15, Scale Exposure: 3/10, Regulatory Risk: 5/10, Vitality Risk: 6/10. The highest risk area is Vitality Risk at 6/10.
How does Bucket CDP compare to other CDP protocols?
Among 25 rated CDP protocols on Hindenrank, Bucket CDP ranks #11 by safety (lowest risk score = safest). Its 36/100 risk score and C+ grade place it in the middle tier of CDP protocols.
Has Bucket CDP ever been hacked or exploited?
Bucket CDP scores 6/15 on the Track Record risk dimension, indicating some history of security incidents or exploits. Higher scores reflect more severe or frequent incidents. Review the full risk report for details.
Last scanned 2026-02-27