Omer Goldberg
Omer Goldberg

Chaos Labs Partners with TapiocaDAO for Risk Management and Optimization

Cover Image for Chaos Labs Partners with TapiocaDAO for Risk Management and Optimization
  1. Overview
  2. Risk Surveillance and Market Intelligence
  3. Optimization of Money Market Risk Parameters
  4. USDO Risk Optimization and Surveillance
  5. Continuous Risk Partnership
  6. What's Next
  7. About Chaos Labs


Chaos Labs is excited to share a strategic partnership with TapiocaDAO, centered around risk management and parameter optimization for the imminent launch of the omni-chain money market protocol and USDO.

Risk Surveillance and Market Intelligence

Chaos Labs will deploy our Risk Platform for advanced observability, monitoring, and alerting for Tapioca, which will encompass the following:

  • Monitoring of protocol-wide systemic risk and individual wallets
  • Evaluating the health and activities of assets
  • Instituting alerting and notification mechanisms
  • Exposure to market manipulation
  • Modeling user scenarios
Example of the Chaos Labs Tapioca Risk Platform. This innovative platform will enable users to identify and assess risks at a systemic level while also facilitating detailed examinations of specific positions through granular analysis. By leveraging advanced technologies and methodologies, the platform empowers users to delve deeply into positions and make informed decisions regarding risk management.

Optimization of Money Market Risk Parameters

Chaos Labs will employ its industry-leading Agent-Based simulation platform to execute Tapioca-tailored agent-based simulations. The objective is to optimize risk parameter suggestions for the borrow/lend markets on Tapioca.

The forthcoming Parameter Recommendation Platform, designed exclusively for the Tapioca community, exemplifies the innovative capabilities of Chaos Labs. Powered by Chaos Labs Agent-Based simulations, this cutting-edge platform is meticulously crafted to identify the optimal equilibrium between capital efficiency and market risk exposure. Leveraging sophisticated algorithms and extensive data analysis, the recommendation platform provides users with actionable insights and guidance in setting parameters. By leveraging this powerful tool, community members can enhance their decision-making processes and strike an optimal balance that maximizes capital efficiency while effectively managing market risk exposure.

USDO Risk Optimization and Surveillance

USDO holds the distinction of being the first stablecoin to be composable across various blockchains. USDO is backed by fully decentralized assets, immutable, over-collateralized, and non-algorithmic. Chaos Labs will facilitate the design of risk monitoring dashboards, recommend parameters, and more, to ensure the robustness and security of USDO.

Continuous Risk Partnership

The Chaos team will offer support regarding the following:

  • Onboarding of new assets
  • Launches of new markets
  • Interpretation of parameter recommendations
  • Understanding the repercussions of abnormal and volatile market conditions.

What's Next

We're just starting with the Tapioca community and are excited to contribute! In the following weeks, we will gradually unveil additional details and insights. The Chaos Labs Tapioca Risk Platform is around the corner, so stay tuned!

About Chaos Labs

A frontrunner in the cloud-based platform sector, Chaos Labs excels in developing risk management and economical security solutions for decentralized finance (DeFi) protocols. The platform conducts stress testing on protocols under adverse and volatile market scenarios with cutting-edge, scalable simulations. As a reliable partner to many DeFi protocols, Chaos Labs is devoted to devising groundbreaking solutions that amplify the efficiency and fortify the security of DeFi marketplaces.

Chaos Labs' esteemed partnerships include Aave, GMX, Osmosis, Benqi, dYdX, Uniswap, Chainlink, and others.