# Risks

**Smart Contract Risk**

Moar interacts with a network of smart contracts across its own protocol and external protocols like Hyperion. This introduces exposure to:&#x20;

1. Contract bugs in Moar’s lending logic, credit account handling, liquidation engine, or adapter modules.&#x20;
2. Integration risks from third-party protocols such as CLMMs or vault systems where borrower funds are deployed.&#x20;

**Oracle and Price Feed Risks**&#x20;

Moar relies on oracles to determine collateral value and trigger liquidations. Inaccurate pricing can lead to:

1. Under-collateralized positions if strategy tokens are valued too highly.&#x20;
2. Incorrect liquidations if the oracle reports a temporary or manipulated price.&#x20;
3. Blocked actions if the oracle feed halts or desyncs from market conditions.&#x20;

#### Collateral and Liquidation Risks

Collateral and liquidation risks creates risks for lenders:&#x20;

1. Slippage and liquidity depth issues when liquidating LP tokens, especially in volatile or low-volume pools.&#x20;
2. Delay or failure in liquidation if collateral is miscalculated or if on-chain conditions prevent execution. <br>

Excessive protocol-wide liquidations may lead to utilization spikes or temporary withdrawal delays for lenders.
