Grass

Grass receives a C+ risk grade (39/100) from Hindenrank, where lower scores indicate lower risk. Elevated risk — novel DePIN bandwidth sharing model with legal and regulatory uncertainty around web scraping, balanced by a large node operator base and first-mover position in AI data infrastructure. Grass is a decentralized physical infrastructure network (DePIN) that enables users to monetize unused internet bandwidth by contributing it to a network that scrapes public web data for AI training. Built as a Sovereign Data Rollup on Solana with ZK proofs for data provenance, the network has attracted 2.8+ million node operators and processes over 100TB of data daily. Its C+ grade reflects the novelty of the bandwidth-sharing-for-AI-data model, which has no established precedent, combined with legal uncertainty around web scraping and ISP terms of service compliance. The GRASS token has declined 94% from its November 2024 all-time high despite strong operational metrics, and heavy insider allocation (47.2%) creates future sell pressure from cliff unlocks extending through 2028.

The key risks identified for Grass are: (1) Running a Grass node shares your residential internet bandwidth for commercial web scraping, which may violate your ISP's terms of service. If ISPs block Grass traffic, the network's bandwidth supply would contract. (2) Automated web scraping legality is contested across jurisdictions. As AI training data governance tightens, Grass's model could face legal challenges from website operators whose content is being scraped. (3) The GRASS token has declined 94% from its November 2024 peak despite processing 100TB+ daily. Heavy insider allocation (47.2% to investors and contributors) with cliff vesting creates concentrated unlock events through 2028. (4) Token value depends on AI companies paying GRASS for data via Live Context Retrieval calls. If demand for scraped web data does not materialize at scale, token utility remains limited to governance.

Grass scores 39/100 across eight risk dimensions: Mechanism Novelty: 6/15, Interaction Severity: 8/20, Oracle Surface: 0/10, Documentation Gaps: 4/10, Track Record: 6/15, Scale Exposure: 5/10, Regulatory Risk: 4/10, Vitality Risk: 6/10. The highest risk area is Vitality Risk at 6/10.

Among 68 rated DeFi protocols on Hindenrank, Grass ranks #40 by safety (lowest risk score = safest). Its 39/100 risk score and C+ grade place it in the middle tier of DeFi protocols.

Grass 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.