Risk warning

DeVOLT borrows against your deposit to buy more of the same asset. That is the whole product, and every risk below follows from it. You can lose more than you would have lost holding the asset plainly, and in the worst case you can lose the deposit entirely.

Leverage multiplies the loss as well as the gain

A levered position moves further than the asset does, in both directions. A fall that would be survivable unlevered can close your position at a loss. The multiplier you choose is also the multiplier on the way down.

You can be liquidated, and DeVOLT will not stop it

Liquidation is performed by the lending venue and by third parties who are paid to do it. It needs neither DeVOLT’s involvement nor your consent, and it can happen while you are asleep. The protocol cannot close your position for you, cannot top it up, and cannot act on your behalf if the price moves. Alerts can tell you something happened; they cannot prevent it, and they can be late or fail to arrive.

The price a market liquidates against is not the market price

Each venue liquidates against its own oracle. An oracle can lag, can be pushed where the underlying liquidity is thin, and can price a wrapped or yield bearing asset by a formula rather than by trade. The Oracles chapter goes through what each kind can and cannot see.

The contracts can fail

This is software holding value, and software has bugs. The main contract is upgradeable by its owner, the fee is adjustable within a ceiling the contract itself enforces, and the venues DeVOLT builds on carry their own risk independently of anything here. The Security chapter lists those powers rather than implying there are none.

What has not been proven

Much of the recent contract work has been exercised against forks of the live chains and in tests, and has not been driven end to end by a real wallet holding real funds. Strategy Vault contracts have not been audited. That does not mean the code is wrong; it means the evidence for it is fork evidence rather than production evidence, and you should size any position with that in mind.

Nothing here is a promise

Every rate, grade, badge and projection in this app is a measurement of a moment, and the moment passes. A yield that is positive today can be negative tomorrow without anything having failed. Do not commit money you cannot afford to lose.