Inside This Report
What DeFi Vaults Actually Are
Explore vault types, from earn vaults on Morpho and Euler to multi-strategy deployments running across multiple protocols and chains. Including architecture, mechanics, and the ERC-4626 standard that underpins most of them.
The Curation Layer
Understand the role curators and strategy managers play in vault management: collateral selection, parameter configuration, oracle setup, and allocation decisions. Including the accountability gap that most depositors never see until losses occur.
A Taxonomy of Vault Risk
Break down smart contract risk, strategy-specific risk, collateral risk, and oracle and liquidity risk. Illustrated with real events from 2025, including the November 2025 DeFi vault contagion that wiped over $3 billion from vault TVL.
Collateral Risk as the Primary Variable
Discover Sentora’s seven-category asset risk framework, explaining why collateral selection is the single most consequential decision in vault management, and how failures in that decision propagated through the market in 2025.
Why DeFi and Institutional Readers Need This Report
Understand What You Are Deploying Into
Two products labeled "vault" can carry entirely different risk profiles. This report gives allocators the vocabulary and framework to evaluate vault architecture, curation quality, and strategy composition before committing capital.
Know Where Accountability Sits
When a curated vault suffers losses, the protocol and the curator are rarely liable. This report maps the accountability chain clearly, so allocators understand who owns the risk at every layer.
A Reference Built for Real Market Conditions
The analysis draws on real incidents from 2025, including the Stream Finance collapse, the October flash crash, and Morpho and Euler vaults hitting 100% utilization. The framework is grounded in events that already happened, not hypothetical scenarios.
