Euler Finance

Euler Finance receives a C risk grade (45/100) from Hindenrank, where lower scores indicate lower risk. Moderate risk — recovering from a $197M exploit with a redesigned system that introduces different risks A lending protocol rebuilt from scratch after losing $197M in a 2023 hack (funds were later recovered). It holds $300M in deposits with a modular vault system that lets developers create custom lending markets. Its C+ grade reflects strong security spending against a proven track record of vulnerability.

The key risks identified for Euler Finance are: (1) This protocol was hacked for $197M in March 2023. The money was returned, but the incident proved the team's code can have critical flaws (2) Anyone can create a new lending vault and connect it to others. A single malicious or poorly built vault can drain money from legitimate ones it links to (3) Connected vaults can trigger chain-reaction liquidations. A crash in one vault forces selling that crashes the next, and so on down the line

Euler Finance scores 45/100 across eight risk dimensions: Mechanism Novelty: 3/15, Interaction Severity: 8/20, Oracle Surface: 3/10, Documentation Gaps: 2/10, Track Record: 12/15, Scale Exposure: 7/10, Regulatory Risk: 3/10, Vitality Risk: 7/10. The highest risk area is Track Record at 12/15.

Among 90 rated Lending protocols on Hindenrank, Euler Finance ranks #78 by safety (lowest risk score = safest). Its 45/100 risk score and C grade place it among the riskier Lending protocols.

Euler Finance scores 12/15 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.