Hypha

Hypha receives a B- risk grade (29/100) from Hindenrank, where lower scores indicate lower risk. Moderate risk — novel minipool operator model creates GGP collateral dependency, balanced by clean track record, reputable backers, and well-documented design. Hypha (formerly GoGoPool) is a liquid staking protocol on Avalanche that issues stAVAX, a reward-bearing token representing staked AVAX. The protocol uses a minipool system where operators pair their AVAX with user deposits to meet Avalanche's 2000 AVAX validation minimum, secured by GGP token collateral. With approximately $23M TVL, $5M in seed funding from Framework Ventures and Coinfund, and operating since April 2023 with no major incidents, its B risk grade reflects moderate novelty from the minipool operator model and manageable interaction risks.

The key risks identified for Hypha are: (1) Minipool operators must stake GGP tokens as collateral. If GGP price crashes relative to AVAX, operators may be forced to close minipools, reducing staking capacity and yield for stAVAX holders. This creates a reflexive risk where token price decline directly impacts protocol functionality. (2) The protocol charges zero fees on staking, which benefits users but raises questions about long-term sustainability. Without direct fee revenue, the protocol depends on alternative income sources that may not be sufficient during market downturns. (3) stAVAX has limited DeFi composability compared to more established LSTs on other chains. The Avalanche DeFi ecosystem is smaller than Ethereum's, meaning fewer opportunities to use stAVAX productively across lending, trading, and yield protocols.

Hypha scores 29/100 across eight risk dimensions: Mechanism Novelty: 3/15, Interaction Severity: 5/20, Oracle Surface: 2/10, Documentation Gaps: 2/10, Track Record: 6/15, Scale Exposure: 3/10, Regulatory Risk: 2/10, Vitality Risk: 6/10. The highest risk area is Vitality Risk at 6/10.

Among 83 rated Liquid Staking protocols on Hindenrank, Hypha ranks #33 by safety (lowest risk score = safest). Its 29/100 risk score and B- grade place it in the middle tier of Liquid Staking protocols.

Hypha 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.