Fenwick Lending

Over-collateralised lending with a kinked interest-rate model.

An isolated-market lending protocol deployed on Arbitrum. Each market pairs collateral and debt assets with its own interest-rate curve, liquidation threshold and oracle configuration. Core accounting was formally specified and verified.

Ecosystem: Arbitrum
Category: Lending
Languages: Solidity
Launched: Mar 2025

86.9AALow risk

Grade AA · Low risk

Strong posture with minor, documented weaknesses.

+3.4 since Nov 2025 · +2.2 since Jul 2026

Quantix Protocol Research · as of 24 Oct 2026 · About this data

Risk Index

How the score is built

Six weighted components, each scored 0–100 where higher means less risk. Points are the component value multiplied by its weight; the gap is what the component costs against a perfect score.

Component	Weight	Value	Points	Gap
Code Security	30%	90	27.0	−3.0
Operational Security	20%	84	16.8	−3.2
Governance Risk	15%	86	12.9	−2.1
Economic Security	15%	85	12.8	−2.3
Infrastructure Resilience	10%	82	8.2	−1.8
Transparency	10%	92	9.2	−0.8
Quantix Risk Index	100%		86.9	−13.1

Risk Index components: Fenwick Lending Code 90, Operational 84, Governance 86, Economic 85, Infrastructure 82, Transparency 92
Component	Fenwick Lending
Code	90
Operational	84
Governance	86
Economic	85
Infrastructure	82
Transparency	92

Grade scale

AAA90–100
AA85–89.9
A80–84.9
BBB75–79.9
BB70–74.9
B65–69.9
CCC60–64.9
CC55–59.9
C50–54.9
D0–49.9

Score history

12 monthly snapshots

Each point is the Risk Index computed from that month’s component values. Markers below the chart show the events that moved a component.

Fenwick Lending Quantix Risk Index by month
Period	Quantix Risk Index
Nov ’25	83.5
Dec ’25	84.0
Jan ’26	84.0
Feb ’26	84.0
Mar ’26	84.0
Apr ’26	84.4
May ’26	84.4
Jun ’26	84.7
Jul ’26	84.7
Aug ’26	84.7
Sep ’26	86.9
Oct ’26	86.9

18 Sept 2026
Research assessment
Research assessment completed: Formal Verification
5 findings (1 high, 2 medium, 1 low, 1 informational). All critical and high findings addressed.
Read the research assessment
- Code Security+6
- Transparency+4
15 Jun 2026
Disclosure
Risk framework published
Listing criteria and parameter methodology made public.
- Transparency+3
21 Apr 2026
Infrastructure
Oracle router migrated
Sequencer-aware feeds with staleness checks per market.
- Infrastructure Resilience+4
8 Dec 2025
Economic
Isolated market caps introduced
Per-market supply and borrow caps for long-tail collateral.
- Economic Security+3

Risk factors

What keeps the score from being higher, most severe first.

MediumEconomic SecurityProfile analysis
Liquidation depth in long-tail markets
Isolated markets limit contagion, but liquidators may not absorb large positions in low-liquidity collateral during fast moves, leaving bad debt in that market.
LowInfrastructure ResilienceProfile analysis
Correlated oracle provider outages
Each market reads two providers; an outage affecting both pauses borrowing protocol-wide on Arbitrum.

Recommendations

Each recommendation raises one component to a target value. The score effect is recomputed with the Risk Index model, holding every other component fixed.

Economic Security: 85 → 90
Supply caps scaled to on-chain liquidity
Tie collateral caps to measured DEX depth and refresh them on a schedule.
+0.7
→ 87.6
Infrastructure Resilience: 82 → 88
Independent fallback oracle
Add a third, independently operated feed used only when the primary pair disagrees.
+0.5
→ 87.4

Analysis

Contract, governance and operations

Contract analysis

Source: Verified
Upgradeability: Transparent proxy
Administrative control: Fenwick governance with a 72-hour timelock
Enforced delay: 72 hours
External dependencies: Two price-feed providers per market; Arbitrum sequencer uptime feed

PassSource verified. All market contracts verified.
PassFormal verification. Core accounting properties machine-checked.
PassSequencer awareness. Borrowing and liquidations pause during sequencer downtime plus a grace period.
PassUpgrade delay. 72-hour timelock on proxy upgrades.
CautionLong-tail listings. Governance can list low-liquidity collateral with conservative but nonzero caps.

Governance exposure

Low

Token governance with a 72-hour timelock; market parameters and listings follow a published risk framework.

Operational resilience

Strong

Oracle router fails closed on stale or sequencer-impacted prices; liquidation keepers are permissionless.

Monitoring

Monitoring history

3 recorded security events for Fenwick Lending, most recent first.

Open in Security Monitoring

24 Oct 2026InformationalLiquidations at 1.8× the usual rateContract Activity · LiquidationEngineResolved
19 Jan 2026MediumBorrow of 2.6% of WETH market supplyWhale Activity · MarketCoreResolved
3 Dec 2025MediumARB price deviation of 1.4% for two roundsSecurity Alert · OracleRouterResolved

Research assessment

QX-TSA-2026-002Formal VerificationPublished

Core accounting, interest accrual and liquidation engine, verified against 12 specified properties.

Review 31 Aug 2026 – 18 Sept 2026 · published 30 Sept 2026

Critical0

High1

Medium2

Low1

Informational1

3 resolved
0 partially resolved
2 acknowledged
0 open

Read the assessment Report PDF

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Research

Relevant research

Publications on the risks that matter most for a lending protocol.

Architecture

System components

MarketCore: Supply, borrow, repay and withdraw accounting per market
InterestRateModel: Kinked utilisation-based borrow and supply rates
LiquidationEngine: Health checks and partial liquidations with close factor
OracleRouter: Price feeds with sequencer-uptime and staleness checks

Turn risk factors into a remediation plan.

A research assessment traces each weakness to code, configuration or process, and verifies the fix before the score moves.

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