Curvance

Rejected venues wait the longest for re-review; a rejection has to earn another look before the scheduled date.

REJECTED because every tracked Curvance position settles on Monad, which this registry has not approved, and because no named unleveraged market has enough operating evidence to overcome that chain gate. The old thesis incorrectly treated the whole protocol as leveraged looping. Curvance now offers isolated lending markets and routed unleveraged vaults as well as one-click leverage; those must be separated. Its official site says markets are isolated, may use two oracles, use dynamic liquidation penalties, and that routed vaults rebalance across approved markets without a lockup. It also reports zero protocol exploits since launch, but that is a project claim from a short record, not an independent incident certification. Trail of Bits collaboration and a Cantina review are meaningful assurance. They do not underwrite Monad, each accepted collateral, curator authority or stressed liquidity. Reopen only for a named unleveraged market after chain approval.

Kill criteria: the events that revoke this verdict
• The Monad chain review resolves to approved
• A named unleveraged market publishes every asset, oracle, LLTV, rate model, cap and privileged authority
• Deployed bytecode reconciles to current audit scope and 12 months of market-level loss and withdrawal history
• A proposed-size withdrawal and collateral-sale test passes the written time and slippage limits under stressed utilization
• Any routed-vault or looping exposure receives a separate memo and does not inherit direct-market approval

The research file

Mechanism and product separation

Curvance combines isolated lending markets, automated vaults and an interface for looping. A direct supplier deposits a loan asset into a market and earns borrower interest; a borrower posts collateral and can be liquidated if its value breaches the market threshold. Curvance’s routed vaults allocate deposits across approved markets and rebalance for rates, adding allocator and configuration risk. The one-click leverage path borrows and redeposits to amplify an LST or lending return, adding recursive debt and liquidation sensitivity. These are three different decision units. This memo rejects the current Monad deployment and explicitly does not infer that an unleveraged direct market carries the same payoff as a leveraged loop.

Control, oracle and liquidation design

Curvance says each market is isolated so one market’s failure should not automatically contaminate another. Markets may validate prices with two independent oracles, and liquidations use dynamic penalties and auction-based order flow. Routed vaults choose an asset and risk level, then move deposits among an approved market set, so their curator or allocator controls that set, caps and rebalance behavior. Governance and privileged contract authorities were not fully enumerated in the public site reviewed. Institutional review must identify every market owner, oracle source, pause role, upgrade key, cap setter and vault allocator with its delay. Isolation limits contagion only when shared assets, oracles, administrators and external strategies are also understood.

Assurance and operating record

Curvance markets independent audits and names Trail of Bits and Spearbit; a public Cantina competition states the reviewed code was built with Trail of Bits and covered VeCVE and most money-market components. The official homepage reports more than $100M of deposits and zero protocol exploits since launch. Those claims are useful but insufficient to certify the exact deployed bytecode, every vault module or an absence of bad debt and withdrawal failures. No consolidated official incident ledger, market-level realized loss series or independent solvency report was identified. A young protocol on a young chain has not yet passed a full credit and liquidity cycle. Audit scope reduces code uncertainty; it does not price collateral, oracle, liquidation or chain failure.

Exit and liquidity

A direct lender redeems only from unborrowed cash in the selected isolated market. High utilization can delay withdrawal until borrowers repay or new liquidity arrives. A routed vault adds allocation timing and may need to withdraw from several markets before paying; “no lockups” does not guarantee immediate cash if underlying markets are utilized. A leveraged user must unwind recursive borrows and collateral, and price movement or oracle updates can liquidate the position before an orderly exit. All settlement, oracles and liquidators depend on Monad availability and finality. Proposed-size liquidity must be measured in the exact market and asset; aggregate protocol deposits and the number of pools do not establish a client exit.

Comparison and decision

For unleveraged stablecoin supply, an approved Aave V3 market is the mature pooled comparator and a named Morpho market or vault is the isolated-market comparator. For LST looping, the right alternative is no leverage or a separately approved leveraged mandate, not another lending brand. Curvance may ultimately compete on capital efficiency and interface quality, but neither feature changes the registry’s settlement-chain requirement. The refusal is not a claim that Curvance was exploited or that isolation is unsound. It says the current product set is only on an unapproved chain, its short operating record lacks market-level loss and exit evidence, and its routed and leveraged products require separate underwriting.

Observable reopening conditions

First complete a Monad chain review that results in approval. Then select one unleveraged Curvance market or vault and publish its collateral, loan asset, oracle sources, LLTV, liquidation penalty, interest model, caps, curator, admin, pause and upgrade authorities. Reconcile deployed bytecode to current audit scope and publish twelve months of utilization, bad debt, liquidation, oracle deviation and withdrawal-failure history. For a vault, freeze or delay changes to the market allowlist and disclose every rebalance. At proposed size, complete withdrawal and collateral-sale tests inside written time and slippage limits during stressed utilization. Any looping path receives a separate leverage memo and cannot inherit approval.

Sources

The claims above trace to these. Where a number could not be independently verified, the thesis says so.

• Curvance — current product and risk overview · primary · accessed 2026-08-14
  Supports: isolated markets, routed vaults, oracle redundancy, dynamic liquidations, deposit and incident claims
• Curvance application — lending and looping overview · primary · accessed 2026-08-14
  Supports: lend and borrow, one-click looping, non-custodial claim, audit-firm claims
• Curvance — Kintsu and sMON integration · primary · accessed 2026-08-14
  Supports: Monad deployment, sMON collateral, automated leverage loop, gauge incentives
• Cantina — Curvance money-market competition · primary · accessed 2026-08-14
  Supports: review scope, Trail of Bits collaboration, money-market contracts, code snapshot
• Monad Foundation — network execution and consensus overview · primary · accessed 2026-08-14
  Supports: settlement-chain mechanism, finality, validator design, execution model
• Monad developers — mainnet protocol address registry · primary · accessed 2026-08-14
  Supports: mainnet contract registry, protocol metadata, deployment verification process

Inherited controls

The verdict above grades the protocol layer. Every position also inherits the asset it holds and the chain it settles on. The least safe layer sets the position’s grade, and the position table names which one that is.