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DODO Finance

DEX

DODO is a decentralized finance (DeFi) platform known for its unique proactive market maker (PMM) algorithm. Unlike traditional automated market makers (AMMs) used in many other DeFi platforms, DODO's PMM aims to provide more efficient pricing and reduced slippage by simulating a human market maker.

Risk Rating

Low Risk
Assessment: 2024-03-19
Risk Assessment
Security History
Monitoring

Overall Score

75%
Safe
  • Assessor
    Kop, Supergu
  • Assessment Date
    2024-03-19
Not yet undergone Underwriting review

The project demonstrates robust technical integrity, having been thoroughly audited and showcases a strong operational structure led by experienced founders. Despite technical risks from potential single points of failure and no pause mechanisms, along with economic concerns related to sustainability from yield derived from its native token, the project maintains resilience, having operated since 2020 through various market conditions. The presence of an active community and transparent governance further solidify its credibility, although regulatory compliance regarding tokenomics remains a concern.

Economic

76%
Implementing a reentrancy guard in the code to prevent a common attack vector is a positive security practice.
Launching in August 2020 suggests that the project is battle-tested, having operated through various market conditions.
A large portion of the yield being derived from the native token raises concerns about the sustainability of the returns.
Supporting flashloans increases the potential risk due to the complex interactions and vulnerabilities they can introduce.

Operation

85%
The founders are public figures with relevant experience, lending credibility and transparency to the project's operations.
The presence of an active DAO and an actively engaged community indicates strong participation and governance within the project.
The project experienced a compromise in 2021 due to smart contract vulnerabilities, though it was handled competently.
The project's tokenomics, including the VE (voting escrow) model, raise concerns regarding compliance with regulatory standards.

Technical

69%
Active contract activities indicate robust user interaction and engagement with the platform.
The clear documentation provides a solid understanding of the software engineering principles underlying the platform.
The presence of an EOA as the admin for critical contracts such as the fee router introduces the risk of a single point of failure, raising concerns about the system's overall security robustness.
The absence of a pause mechanism in the contracts increases the potential risk by limiting the ability to respond swiftly to security threats.