Lombard Finance

Lombard Finance receives a C+ risk grade (42/100) from Hindenrank, where lower scores indicate lower risk. Moderate risk — record-breaking growth across 15 chains, but zero battle-testing and multiplicative bridge exposure A Bitcoin liquid staking protocol that turns your BTC into LBTC, an interest-earning token available on 15 different blockchains. It grew to $1.7B in just 92 days, the fastest growth of any yield-bearing token in crypto history. Its C+ grade reflects the risk that a single bridge hack on any of its 15 chains could mint fake LBTC and crash the entire system.

The key risks identified for Lombard Finance are: (1) LBTC's value depends entirely on Babylon's Bitcoin staking security. If Babylon's validators misbehave or get exploited, your LBTC loses its 1:1 backing instantly. (2) LBTC exists on 15 blockchains. A bridge hack on any single chain can flood the market with fake LBTC, destroying trust across all 15. (3) Reached $1B in 92 days without surviving a single market crash. The protocol has never been stress-tested at scale.

Lombard Finance scores 42/100 across eight risk dimensions: Mechanism Novelty: 3/15, Interaction Severity: 10/20, Oracle Surface: 3/10, Documentation Gaps: 3/10, Track Record: 4/15, Scale Exposure: 7/10, Regulatory Risk: 5/10, Vitality Risk: 7/10. The highest risk area is Scale Exposure at 7/10.

Among 81 rated Liquid Staking protocols on Hindenrank, Lombard Finance ranks #74 by safety (lowest risk score = safest). Its 42/100 risk score and C+ grade place it among the riskier Liquid Staking protocols.

Lombard Finance scores 4/15 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.