Risks of using Platypus

Swapping and providing liquidity on Platypus come with certain risks. You are advised to research and understand the risks involved.

We also advise you to study our operation manual to familiarize yourself with Platypus; our StableSwap and the mechanism of single-asset liquidity provision.

1. Swapping Tokens
2. Depositing into Platypus Pool
3. Withdrawing Tokens

Audits

Platypus is Audited by Hacken and Omniscia.

However, security audits don't eliminate risks completely. Please don't contribute more than you can afford to lose to Platypus, especially as a liquidity provider.

Using Platypus as an exchange user should be significantly less risky, but this is not advice.

Permanent Loss

If one of the stablecoins in the pool goes significantly down below the peg of 1.0 and never returns to the peg, liquidity providers may suffer from impairment loss.

Further details please refer to Yellow Paper Section 4.3.

Risk Management

Platypus adopts following risk management policies to protect liquidity providers:

1. We use price oracle (Chainlink) to check the price between the tokens upon swap, and the trade will be reverted if the price deviation between them is larger than 2%.
2. In the case that the deposited token is significantly under-covered, we allow liquidity providers to withdraw in other assets of which the pool is over-covered.

For further details please refer to Yellow Paper Section 8.