ZeroLendMicro-cap

ZeroLend receives a C+ risk grade (36/100) from Hindenrank, where lower scores indicate lower risk. Moderate risk — Aave's proven code helps, but deploying on five young L2s with thin liquidity and concentrated governance multiplies failure points A lending protocol forked from Aave and deployed across five newer blockchains including zkSync, Linea, and Blast. It manages $100M in deposits. Its C grade reflects the compounding risk of running on multiple young blockchains with thin liquidation coverage, extreme token concentration, and a codebase that diverges from the battle-tested Aave original.

The key risks identified for ZeroLend are: (1) Newer blockchains like zkSync and Blast have fewer bots to liquidate bad loans -- during a price crash, bad debt piles up faster than anyone can clean it (2) Ten wallets hold over 90% of the governance token, and with under $10M in token value, anyone could buy control of the protocol and change the rules (3) Every deposit sits on a bridged blockchain -- if any one of those bridges gets hacked, all collateral on that chain becomes worthless overnight

ZeroLend scores 36/100 across eight risk dimensions: Mechanism Novelty: 3/15, Interaction Severity: 10/20, Oracle Surface: 3/10, Documentation Gaps: 4/10, Track Record: 3/15, Scale Exposure: 0/10, Regulatory Risk: 4/10, Vitality Risk: 9/10. The highest risk area is Vitality Risk at 9/10.

Among 90 rated Lending protocols on Hindenrank, ZeroLend ranks #49 by safety (lowest risk score = safest). Its 36/100 risk score and C+ grade place it in the middle tier of Lending protocols.

ZeroLend scores 3/15 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.