Security & Risk

Ozmium is non-custodial: it never takes custody of your funds or private keys. You sign every transaction from your own wallet, and every call goes directly to a protocol's onchain contracts.

Trust model

• No custody. Funds stay in your wallet or in the underlying protocol you interact with; Ozmium holds neither keys nor balances.
• Verifiable transactions. Ozmium builds calldata; your wallet shows it before you approve. Contracts are viewable on Basescan.
• Base mainnet only. No cross-chain bridging surface; chain id 8453.

Underlying protocols

Ozmium routes to independently audited third-party protocols. Do your own review of each:

• Gains Network gTrade - leveraged perpetuals (USDC collateral).
• Morpho - ERC-4626 vaults and Morpho Blue lending markets.
• Aave v3 - supply and borrow.
• Uniswap v3 - the OZ/WETH liquidity pool.

Audit status (honest)

The underlying protocols are audited by their own teams. The Ozmium interface has not undergone a formal third-party audit. Because Ozmium is non-custodial, the interface cannot move your funds - it can only propose transactions you choose to sign. Always read the transaction in your wallet and verify contract addresses before approving.

Risks

• Liquidation. Leveraged perps and loans can be liquidated onchain when losses breach the protocol's threshold.
• Smart-contract risk. Every underlying protocol carries contract risk.
• Market and oracle risk. Prices move fast; oracles can lag or fail.
• Variable rates. Borrow and supply APRs change with utilization.
• No insurance. There is no deposit protection. Only risk what you can afford to lose.

How liquidations work

Liquidations are enforced by the protocol, not Ozmium. The app shows your live liquidation price, health factor, and the adverse move that would trigger liquidation, plus a survival-sizing tool so you can set leverage against real historical volatility rather than guesswork.