$NEWT #newt $NEWT
Onchain vaults—whether we're talking about ERC-4626 standard yield vaults, multi-sig treasuries, or decentralized asset management protocols
it highlights a massive bottleneck in decentralized finance (DeFi)
Currently, protocols mitigate curator risk using suboptimal band-aids:
Time-locks: Delaying transactions so depositors can rage-quit if a curator goes rogue. (Incentivizes panic and ruins agile capital management).
Over-collateralization / Slashing: Forcing curators to stake their own capital. (Limits capital efficiency and excludes talented but under-capitalized managers).
Onchain vaults—whether we're talking about ERC-4626 standard yield vaults, multi-sig treasuries, or decentralized asset management protocols
it highlights a massive bottleneck in decentralized finance (DeFi)
Currently, protocols mitigate curator risk using suboptimal band-aids:
Time-locks: Delaying transactions so depositors can rage-quit if a curator goes rogue. (Incentivizes panic and ruins agile capital management).
Over-collateralization / Slashing: Forcing curators to stake their own capital. (Limits capital efficiency and excludes talented but under-capitalized managers).