Risks

Performance Based Returns

The value of shUSD increases anytime profits are generated and decreases anytime losses are incurred. The collective yield strategy being employed is low risk in nature and seldom produces negative returns, however negative returns are still possible.

Hedgemony runs an advanced risk mitigation engine to capture max upside and limit downside exposure for the underlying USDC or equivalently priced dollar denominated stablecoins utilized within the yield strategy.

Third Party Exposure

This strategy allocates to select third party applications across the DeFi landscape. Stringent requirements are in place for judging third party applications, including but not limited to comprehensive audits by legitimate security firms, proprietary static analysis of public code bases, historic proof of performance, and sufficient market/liquidity capacities.

Numerous criteria must be met before any protocol may be deemed low enough risk and eligible for inclusion into the SherpaEarn strategy, however there are no 100% guarantees that losses will not occur. Low risk does not mean zero risk. Only deposit funds you can afford to lose.