RenzoRiskNews

Renzo is integrating Edge Risk Oracles

Cover Image for Renzo is integrating Edge Risk Oracles

Renzo is integrating Edge Risk Oracles.


With $2.1B+ secured across 88 markets, Edge Risk Oracles power real-time, automated risk monitoring for protocols like Aave & GMX. This integration upgrades Renzo's risk management, creating a safeguard system that responds instantly to disruptions across EigenLayer, Lido, and Ethereum.

Why This Matters for Renzo & ezETH

Renzo's ezETH is backed by both native ETH and Lido's stETH, with withdrawals dependent on:

  • EigenLayer
  • Lido
  • Ethereum

This introduces critical dependencies—if any of these systems experience disruptions, the ezETH exchange rate may be impacted. Once integrated, Edge Risk Oracles proactively monitor risks before they escalate.

Edge Risk Oracles


The Power of Edge Risk Oracles

Edge Risk Oracles continuously monitor onchain events across all withdrawal dependencies:

  • Real-time Detection: Instantly identifies paused contracts, slashing events, or other disruptions affecting withdrawals
  • Automated Response Triggers: Proactively adjusts risk parameters and implements preventive actions when risks are detected
  • Risk Transparency: Provides clear, actionable signals to integrated protocols about potential withdrawal risks

Edge Risk Oracles will monitor specific events, including:

  • EigenLayer pauses (PAUSED_ENTER_WITHDRAWAL_QUEUE, PAUSED_EXIT_WITHDRAWAL_QUEUE)
  • Slashing events (OperatorSharesSlashed, CheckpointFinalized with negative deltas)
Introducing Aave's Chaos Labs Risk Oracles

Introducing Aave's Chaos Labs Risk Oracles

In the fast-paced and volatile environment of DeFi, managing risk parameters across Aave's extensive network—spanning over ten deployments, hundreds of markets, and thousands of variables such as Supply and Borrow Caps, Liquidation Thresholds, Loan-to-Value ratios, Liquidation Bonuses, Interest Rates, and Debt Ceilings—has evolved into a critical, yet resource-intensive, full-time endeavor. Chaos Labs aims to streamline this paradigm by integrating Risk Oracles to automate and optimize the risk management process, achieving scalability and near-real-time risk adjustment capabilities.

Omer Goldberg