DeFi Lending Platform Evaluation

[toc]

Evaluated Platforms

Aave (currently in V2), MakerDAO, Compound, Liquity, Synthetix, TrueFi (currently in V4)

Data Preparation

Smart Contract

1. Launched time The launched time is the time when a certain protocol started running in mainnet.
   • TrueFi: https://docs.truefi.io/faq/pool#lending-pools-smart-contracts
2. Number of vulneratbilities
3. Bug Bounty
   • Aave: https://aave.com/bug-bounty/
   • MakerDAO: https://security.makerdao.com/
   • Compound: https://compound.finance/docs/security
   • Liquity: https://docs.liquity.org/documentation/bug-bounty
   • Synthetix: https://blog.synthetix.io/synthetix-bug-bounties/
   • TrueFi: https://github.com/trusttoken/bug-bounty
4. Audit status
   • Aave: https://docs.aave.com/developers/security-and-audits
   • MarkerDAO: https://security.makerdao.com/audit-reports
   • Compound: https://compound.finance/docs/security
   • Liquity: https://github.com/trailofbits/publications/blob/master/reviews/Liquity.pdf
   • Synthetix: https://github.com/sigp/public-audits
   • TrueFi: https://blog.trusttoken.com/mitigating-risk-truefis-loan-default-process-454359a8c4b
5. Recent update

Finance

1. Token values
2. ESG factor
3. Lending amount
4. Borrowing amount

Intermediary

1. Admin key
2. Blockchain oracle

Future Works

• Automatically check the audit status.

References

1. https://arxiv.org/pdf/2106.06389.pdf
2. https://github.com/aave/protocol-v2/blob/master/aave-v2-whitepaper.pdf
3. https://www.tandfonline.com/doi/abs/10.2469/faj.v74.n3.2
4. https://blogs.lse.ac.uk/businessreview/2021/02/05/can-investors-embrace-both-cryptocurrencies-and-esg/