Origami Finance

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

Origami is an automated leverage protocol: it loops a deposit to multiply exposure to an underlying yield position, deployed on Ethereum, Berachain, and Plasma. The DefiLlama API read on 2026-08-15 showed about $49.4M TVL, below the $100M materiality line, and size alone rejects it: one practice advising 100 households moves $1M to $8M into a venue on the same research, and at this size that book becomes the exit crush, whatever the protocol’s quality. A reopened file would face the leveraged-looping rule directly, since recursive leverage converts a modest yield into a bet on rate stability and liquidation thresholds, so growth alone is unlikely to change the outcome.

Kill criteria: the events that revoke this verdict
• TVL sustained above $100M for 30 days
• The protocol offers an unleveraged spot product with disclosed, deterministic yield

The research file

Mechanism applicability

Origami describes Leveraged Origami Vaults as one-click folded positions. A user deposits a yield-bearing token and receives a lovToken; the vault borrows through an integrated lender, swaps the debt asset for more collateral and repeats the exposure. Bespoke asset-to-liability thresholds and automated rebalances maintain leverage. This proves the protocol identity and below-materiality application, but does not constitute individual validation of any vault.

Current observation and evidence boundary

The DefiLlama protocol API read on 2026-08-15 reported approximately $49.4M of tracked TVL across Ethereum, Berachain and Plasma, below the v1 dossier’s $100M gate. Origami’s current V2 materials continue to describe leveraged yield-bearing-token vaults integrated with lenders including Morpho and Spark. Vault parameters, deployed-code correspondence, authorities, audit remediation, incidents and chain approval remain deferred rather than presumed safe.

Return and exit applicability

Origami says vault return is the underlying token yield multiplied by leverage, less borrowing cost and fees, and explicitly warns that a positive spread is not guaranteed. lovToken redemption depends on withdrawable reserves after the portion supporting principal and accrued interest, while entry or exit fees may alter realized returns. Depeg, rising borrow rates or failed rebalancing can therefore compress value and make unwind economics materially worse than the unleveraged asset.

Why the shared dossier decides

The v1 below-materiality dossier rejects the current venue before an individual leveraged-vault review. Reopen only after the same survey perimeter sustains at least $100M for 30 consecutive days. Any reopened file must then apply the leveraged-looping rule and verify each vault’s lender, leverage bounds, automation, authorities, fees, security record and stressed unwind. A separately disclosed unleveraged spot product could merit its own review; growth alone would not imply approval.

Sources

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

• Origami Docs — protocol overview · primary · accessed 2026-08-15
  Supports: automated leverage, folded exposure, third-party lenders, yield-bearing tokens
• Origami Docs — leveraged-vault mechanism · primary · accessed 2026-08-15
  Supports: lovToken, recursive borrowing, lender integration, withdrawable reserves, negative spread
• Origami Docs — targeted exposure and rebalancing · primary · accessed 2026-08-15
  Supports: asset-liability thresholds, automated rebalancing, depeg risk, non-custodial design
• Origami Docs — rewards and fees · primary · accessed 2026-08-15
  Supports: leveraged return, borrowing cost, performance fee, entry and exit fees
• DefiLlama — Origami Finance survey record, read 2026-08-15 · secondary · accessed 2026-08-15
  Supports: current TVL, chains, leveraged-farming category, borrowed balances

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.