SoSoValue Indexes

SoSoValue Indexes receives a C+ risk grade (36/100) from Hindenrank, where lower scores indicate lower risk. Elevated risk — custodial counterparty dependency and novel hedged index product, partially offset by institutional custodians and diversified underlying assets. SoSoValue Indexes offers diversified crypto index tokens (MAG7.ssi, DEFI.ssi, MEME.ssi, USSI) backed by custodied spot assets, similar to traditional ETFs but on-chain. With $91M in assets under management and a daily 0.01% service fee, it provides passive crypto exposure across sectors. Its C+ grade reflects custodial counterparty risk and the novelty of its hedged USSI product.

The key risks identified for SoSoValue Indexes are: (1) Index tokens are backed by assets held at third-party custodians (Cobo, Ceffu), not in smart contracts you can verify on-chain. A custodian failure could leave index tokens unbacked. (2) Monthly rebalancing creates predictable trading patterns that sophisticated traders can exploit, potentially reducing returns for index holders compared to simply holding the underlying assets. (3) The USSI hedged index uses perpetual futures for yield, which can generate losses during periods of negative funding rates rather than the expected positive yield.

SoSoValue Indexes scores 36/100 across eight risk dimensions: Mechanism Novelty: 3/15, Interaction Severity: 5/20, Oracle Surface: 5/10, Documentation Gaps: 4/10, Track Record: 6/15, Scale Exposure: 3/10, 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, SoSoValue Indexes ranks #35 by safety (lowest risk score = safest). Its 36/100 risk score and C+ grade place it in the middle tier of DeFi protocols.

SoSoValue Indexes 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.