Wasabi

Wasabi receives a C- risk grade (57/100) from Hindenrank, where lower scores indicate lower risk. High risk — April 2026 admin key exploit revealed critical governance architecture failures (single EOA, zero timelock); LP vaults remain exposed to extreme directional risk on long-tail assets. Wasabi is a leverage trading protocol enabling long and short positions on long-tail crypto assets including memecoins and NFTs, using physically-settled perpetual contracts backed by ETH-ERC20 LP vaults. On April 30, 2026, the protocol suffered a $4.5-5.5M exploit when the deployer admin key was compromised, enabling instant UUPS proxy upgrades with no timelock delay. TVL has collapsed to approximately $1.2M across all chains. Wasabi now carries a D+ risk grade reflecting the confirmed exploit, architectural governance failures, and severe user confidence erosion.

The key risks identified for Wasabi are: (1) On April 30, 2026, Wasabi suffered a $4.5-5.5M exploit caused by a compromised admin key. The protocol's design used a single EOA admin with zero-delay timelock, enabling the attacker to instantly upgrade all vault contracts and sweep depositor funds across four chains. (2) Wasabi enables leveraged trading on memecoins and NFTs — assets that can lose 90%+ of their value in hours. LP deposits act as counterparty and can lose value when traders profit. (3) The protocol uses physical settlement, meaning actual tokens must be held. For illiquid memecoins, this can create issues when large positions need to be closed.

Wasabi scores 57/100 across eight risk dimensions: Mechanism Novelty: 6/15, Interaction Severity: 14/20, Oracle Surface: 5/10, Documentation Gaps: 4/10, Track Record: 15/15, Scale Exposure: 0/10, Regulatory Risk: 5/10, Vitality Risk: 8/10. The highest risk area is Track Record at 15/15.

Among 56 rated Derivatives protocols on Hindenrank, Wasabi ranks #55 by safety (lowest risk score = safest). Its 57/100 risk score and C- grade place it among the riskier Derivatives protocols.

Wasabi scores 15/15 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.