Risk Awareness and Mitigation ( #FalconFinance )
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Like all financial protocols, Falcon Finance carries risks. Collateral value can fluctuate, liquidity for certain assets may tighten, and smart contract vulnerabilities are always a concern. These risks are addressed through dynamic collateral ratios, multiple audits, and an on-chain insurance reserve funded by protocol profits. While yields may vary and can decline in extreme conditions, transparency tools help users stay informed.
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