Risk Management

To protect the platform and its users, Mystic Finance employs a robust risk management framework. This includes, but is not limited to:

  • Overcollateralization - All loans are overcollateralized proportional to the underlying asset's risk profile. The health of the loan is managed constantly and updated in real-time.

  • Insurance funds - as we grow, an insurance pool will be created to make users whole in bad debt events.

  • Risk Management dashboard - Mystic is building a a risk management dashboard in partnership with a leading risk manager, so users and team alike can transparently track protocol health in real time and mitigate risk accordingly.

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