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RFS DeFi Risk Intelligence Weekly
Institutional-Grade DeFi Risk Monitoring brought to you by RFS Consulting
Camryn Odom & Robert Franklin III
June 17, 2025 • Estimated Reading Time: 6 minutes
In partnership with
Welcome to another edition of RFS DeFi Risk Intelligence Weekly!
Here’s whats new this week:
🧠Beginner Corner: What is DeFi?
Definition:
Decentralized Finance (DeFi) refers to financial applications built on blockchains that allow users to lend, borrow, trade, and earn yield—without banks or intermediaries.
Key Concepts:
Smart Contracts: Automated programs that run DeFi apps
TVL (Total Value Locked): Measures how much money is inside a DeFi protocol
Staking: Locking up assets to earn rewards
Stablecoins: Crypto designed to maintain a 1:1 value with the USD (e.g., USDC, DAI)
📆 Beginner Term of the Week: Yield Farming
Yield Farming is the process of moving crypto assets between DeFi platforms to earn the highest return (APY). It’s like chasing the best interest rate, but in DeFi.
Example: Deposit USDC into Curve Finance → Earn LP fees + CRV tokens → Reinvest into Convex Finance for boosted yield.
💡 DeFi Strategy Spotlight: The Flywheel Effect
The DeFi Flywheel explains how protocols grow:
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Platforms like Curve, Pendle, and Beefy are masters of the flywheel—creating a loop that keeps capital flowing.
📊 RFS Weekly Risk Scores – Week of June 16, 2025
Protocol | RFS Risk Score | Risk Tier | Notes |
|---|---|---|---|
Curve Finance (CRV) | 🟡 72/100 | Moderate | Strong stablecoin pools, good liquidity |
Aave v3 (Arbitrum) | 🟢 84 / 100 | Efficient | Resilient lending market, solid governance |
Gemach Curve Pool | 🟢 79/100 | Moderate/Efficient | New but composable with stablecoins |
Pendle Finance | 🟡 65/100 | Moderate | High reward, higher volatility |
Frax Finance | 🟢 89/100 | Efficient | Great risk-reward profile |
💸 Top Stablecoin Yields - Week of June 16, 2025
Platform | Asset APY (%) | Notes |
|---|---|---|
Pendle | sDAI 17.2% | Fixed-yield vaults via yield tokenization |
Ethena | USDe 23.1% | Risk-on, use cautiously |
Morpho Blue | USDC 9.3% | Safer lending yield |
FraxLend | FRAX 11.8% | Solid peg maintenance |
Ondo USDY | USDY 5.2% | Tokenized US Treasuries |
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📈 DeFi Data: Curve Finance Metrics (Week 24)
Pool: GMC/USDC (Curve Finance – Polygon v2)
Top Pool: TriCrypto-17 (ETH/USDC/WBTC)
Est. Yield: ~8.5% APR
Strengths: Deep liquidity, tight slippage, permissionless
🤝🏽 Industry Partnerships This Week: Gemach DAO x RFS Consulting
Check out our curve pool integrations + real-time risk dashboards
Curve front-end is a user interface application designed to connect to Curve’s deployment of Smart contracts
The RFS platform now uses this traditional finance metric to score DeFi protocols and tokens based on how efficiently they generate returns relative to risk.
Sharpe Ratio = (Return – Risk-Free Rate) / Volatility
→ Used in: Portfolio scoring, treasury analysis, protocol benchmarking
→ Status: Live on internal dashboards (public UI coming soon)
🎯 For New Readers: Your First 3 Steps into DeF
🔍Need a walkthrough?
🛠️ What’s Next?
Each week, I’ll share:
Protocol breakdowns
Risk insights
Strategy tips
Institutional trends
Whether you’re allocating $100 or managing $1M — this newsletter is your edge!
🧠 Remember: Knowledge compounds. Start slow, stay sharp, and keep learning.
📢 Call to Action
Now Accepting 3 Pilot Clients
We’re onboarding a limited number of DeFi protocols and institutional funds into our real-time risk scoring dashboard and DeFi compliance architecture.
💼 Custom engagements | Audit-aligned scoring | Institutional onboarding
📩 Get in Touch
🌐 Website
Till next time,
RFS DeFi Risk Intelligence Weekly
🔓Disclaimer: This newsletter is for informational purposes only and does not constitute legal, investment, or tax advice. Always consult a qualified professional before making financial decisions.