Lybra FinanceMicro-cap

Lybra Finance receives a B- risk grade (35/100) from Hindenrank, where lower scores indicate lower risk. Moderate risk — novel yield-bearing stablecoin design creates inherent peg instability that DeFi integrations may not handle correctly A stablecoin protocol where your eUSD earns 7-8% yield automatically because it is backed by ETH staking tokens that generate interest. It holds $50M in deposits. Its C+ grade reflects the fundamental tension of a stablecoin that is worth more than $1 to hold -- the yield creates upward price pressure that can break the peg in both directions.

The key risks identified for Lybra Finance are: (1) Because eUSD earns yield, it often trades above $1. DeFi apps that assume it equals $1 can misprice your positions and trigger unexpected liquidations. (2) If the staking tokens backing eUSD (like stETH) drop in value, hundreds of loans can be liquidated at once, potentially leaving eUSD underbacked (3) TVL once crashed 70% in a single day. The protocol's user base has shown it will flee at the first sign of trouble.

Lybra Finance scores 35/100 across eight risk dimensions: Mechanism Novelty: 2/15, Interaction Severity: 8/20, Oracle Surface: 3/10, Documentation Gaps: 3/10, Track Record: 5/15, Scale Exposure: 0/10, Regulatory Risk: 6/10, Vitality Risk: 8/10. The highest risk area is Vitality Risk at 8/10.

Among 28 rated Stablecoin protocols on Hindenrank, Lybra Finance ranks #7 by safety (lowest risk score = safest). Its 35/100 risk score and B- grade place it among the safer Stablecoin protocols.

Lybra Finance scores 5/15 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.