Moderate risk — proven Liquity V2 design and professional audits provide strong fundamentals, balanced by Hyperliquid ecosystem concentration risk and untested rapid growth.
Top Risks
1
Felix is a Liquity V2 fork on Hyperliquid L1, inheriting Liquity's proven design but deploying on a relatively new blockchain where the validator set and sequencer infrastructure are less battle-tested.
2
feUSD stablecoin depends on Hyperliquid's native HYPE token and BTC as primary collateral, creating concentration risk in a single ecosystem's assets.
3
Rapid growth from $0 to $1B+ total deposits across Felix products in 5 months signals strong adoption but also rapid expansion that may outpace risk parameter calibration.
4
Redemption pricing was adjusted post-audit to fix a hidden peg assumption; similar latent design issues may exist in other modified Liquity V2 components.
Risk Breakdown
Frequently Asked Questions
Is Felix CDP safe to use?
Felix CDP receives a B- risk grade (33/100) from Hindenrank, where lower scores indicate lower risk. Moderate risk — proven Liquity V2 design and professional audits provide strong fundamentals, balanced by Hyperliquid ecosystem concentration risk and untested rapid growth. Felix CDP is a Liquity V2 fork on Hyperliquid L1 that lets users mint feUSD stablecoins against HYPE and BTC collateral with user-chosen interest rates. With rapid growth to $1B+ in total deposits across Felix products and audits from Dedaub and Coinspect, its B- grade reflects solid fundamentals from the Liquity V2 design offset by concentration risk in Hyperliquid ecosystem assets and rapid growth that may outpace risk calibration.
What are the main risks of using Felix CDP?
The key risks identified for Felix CDP are: (1) Felix heavily depends on HYPE as collateral. If HYPE price crashes, mass liquidations on Felix could further push down HYPE price, creating a negative spiral that amplifies losses for borrowers. (2) Borrowers choose their own interest rate, but positions with lower rates are closed first when the system needs to maintain the feUSD peg. Setting a very low rate saves on borrowing costs but makes your position more vulnerable to forced closure. (3) Felix grew from zero to over $1 billion in deposits in 5 months. This rapid growth is impressive but means the system's risk parameters have not been tested through a full market cycle.
What is Felix CDP's risk score breakdown?
Felix CDP scores 33/100 across eight risk dimensions: Mechanism Novelty: 3/15, Interaction Severity: 6/20, Oracle Surface: 2/10, Documentation Gaps: 2/10, Track Record: 6/15, Scale Exposure: 3/10, Regulatory Risk: 3/10, Vitality Risk: 8/10. The highest risk area is Vitality Risk at 8/10.
How does Felix CDP compare to other CDP protocols?
Among 25 rated CDP protocols on Hindenrank, Felix CDP ranks #7 by safety (lowest risk score = safest). Its 33/100 risk score and B- grade place it among the safer CDP protocols.
Has Felix CDP ever been hacked or exploited?
Felix 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.