#DeFiGetsGraded DeFiGetsGraded refers to the evaluation and rating of decentralized finance (DeFi) protocols based on their risk assessment. A notable example is DeFi Pulse's Economic Safety Grade, developed in collaboration with Gauntlet. This tool assesses DeFi protocols like Aave and Compound, assigning scores based on factors such as:

- *Collateral Volatility*: measuring the risk associated with asset value fluctuations

- *Relative Collateral Liquidity*: evaluating the ease of buying or selling assets without significantly impacting prices

- *User Behavior*: analyzing user interactions and potential risks

- *Protocol Parameters*: assessing smart contract configurations and potential vulnerabilities