Lorenzo sUSD1+

Lorenzo sUSD1+ receives a C+ risk grade (41/100) from Hindenrank, where lower scores indicate lower risk. Elevated risk — novel on-chain fund structure with opaque multi-strategy exposure and dangerous governance token economics Lorenzo sUSD1+ is a yield-generating stablecoin product that earns returns by combining Real World Asset yields, DeFi lending, and quantitative trading strategies. You deposit USDC, USDT, or USD1 and receive sUSD1+ which grows in value as yields accumulate. The protocol aims to be like an on-chain investment fund. Its C+ grade reflects significant strategy opacity and stablecoin dependency risks.

The key risks identified for Lorenzo sUSD1+ are: (1) Your money is invested in a mix of DeFi, real-world assets, and trading strategies — you cannot see or verify all the positions your money is in (2) sUSD1+ depends on USD1 stablecoin keeping its value — if USD1 loses its peg, your sUSD1+ loses value too even if strategies are profitable (3) The BANK governance token is worth far less than the money the protocol controls, making it cheap for an attacker to take over decision-making

Lorenzo sUSD1+ scores 41/100 across eight risk dimensions: Mechanism Novelty: 8/15, Interaction Severity: 11/20, Oracle Surface: 4/10, Documentation Gaps: 4/10, Track Record: 4/15, Scale Exposure: 3/10, Regulatory Risk: 4/10, Vitality Risk: 3/10. The highest risk area is Interaction Severity at 11/20.

Among 112 rated Yield protocols on Hindenrank, Lorenzo sUSD1+ ranks #79 by safety (lowest risk score = safest). Its 41/100 risk score and C+ grade place it among the riskier Yield protocols.

Lorenzo sUSD1+ 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.