Risks & Nuances

Please read and understand risks associated with decentralized funds. Investing in Starship Capital you agree with the risks explained & you take the full responsibility for any loss caused by these.

Migrations

Enzyme Finance (the protocol Starship Capital is built upon) is constantly adding new features and integrations with external decentralised finance protocols. Occasionally, these features will require a new release of the core Enzyme contracts. Investors should be aware that at every new Enzyme release, Portfolio Managers can opt in to upgrade their product from the previous version to the new version. This process gives Portfolio Managers an opportunity to change their original product configurations (eg. fees, rule-sets, etc). Once the product configurations are updated and the Portfolio Manager has signaled their intent to migrate to the new Enzyme version, the Portfolio Manager is restricted from accessing the upgrade for 48 hours. This time period gives investors an opportunity to opt out of the product by redeeming their shares.

At every release cycle, investors should regularly check the product configurations they are subscribed to in order to make sure they still agree to them.

In order to make this monitoring of events more user friendly, we will be releasing notification services for users in the coming months. In the meantime, any Enzyme upgrades will be well-publicized here, here, and here.

Smart Contract Risk

Enzyme takes security very seriously. Any publicly-available Enzyme code has been thoroughly audited; the results are available for anyone to read here. However, when interacting with any smart contract protocol, there is always some degree of risk that an edge case or code vulnerability can result in funds being lost. Investing funds into an Enzyme product is an acknowledgement and acceptance of this risk.

For any questions about these risks, our team is always happy to help.

Oracle Risk

Enzyme relies on oracles to calculate the GAVs of any investment product. If these oracles are compromised in any way, they can provide attack vectors to users which could lead to a loss of funds.

Asset Risk

It is the Portfolio Manager to stay on top of any nuances surrounding tokens. The available asset universe is not intended to be any list of endorsements. Things to look out for could include the risk of token migrations, deviations from the ERC-20 standard, the degree of centralized custodial risk (eg. USDT) and how prices are derived (for example, we use the BTC/ETH rate for WBTC).