Market participants, across centralised and decentralised markets, were stress-tested to extremes this month. Risks of uncollateralised lending books, opacity of loan usage and perils of excessive leverage were clear with a large hedge fund going under. Asset-liability and duration mismatch risks came to the fore with moves in ETH vs stETH. The manic times did show that “[only] what gets measured gets managed” is true as ever. Haruko is proudly helping its clients measure and manage risk profitably.
Users of Convex, Ribbon, Allbridge and DeFi Saver were exposed due to another Web2-style attack, this time targeting projects hosted by Namecheap.
The Haruko engineers wrote a program to pull a list of all addresses that approved malicious contracts as a result of the hack, as well as review if the approvals have been revoked since or are still live.
We are updating this list on a daily basis, so please check if you are concerned and share with anyone who may be affected.
stETH to ETH was the latest peg to break down, this time caused by the lack of liquidity caused by, and uncertainty around, the delay of Ethereum's merge to the Beacon Chain. Once again, Haruko users were able to react quickly to the indicators thanks to our dispersion analytics.
The Haruko team reviewed the mathematics of major AMMs and discovered a potential vulnerability in Platypus. We reported it to the team to enable them to resolve it. More info, and a link to download the paper, available here.
The Haruko Founders hosted a series of roundtables at Hedgeweek's European Digital Assets Summit last week.
The discussion topic was "Portfolio and risk management across CeFi and DeFi: balancing market, credit and custody risks" and was well attended by asset managers, lenders and regulators. We gained great insight into how centralised vs decentralised loan books were managed through the recent market turmoil and the lessons for the future of risk management in crypto.
It was a great example of the need to share knowledge in the space and we'll be announcing some follow-up events in the coming months.
We've introduced a host of updates and new visualisations to the analytics dashboard, including:
- Charting and grid analytics (including pivot mode) now available for all Compound, Curve and UniSwap pools.
- Historical funding and open interest visualisations for Binance, FTX, Derebit, OKX and KuCoin.
- PnL and Equity Visualisations for CeFi at both fund and account levels.
Book in a call if you’d like to see how Haruko can simplify your portfolio and risk management.
All the best,