This is an unaudited protocol. You may lose 100% of your funds in case of an unidentified exploit of hack. There are no refunds and users participate in Anchor, Inverse Finance and associated products at their own risk.
This is a list of some, but not an exhaustive list of risks associated with using Anchor and Inverse Finance products:
Smart contract failure risk: Despite our security efforts, our contracts may get exploited and drained.
Arbitrage risk: If you buy DOLA and pay over $1 or sell it for under $1 (e.g. on Uniswap) OR supply liquidity at the incorrect price, your trade is likely to be arbitraged and you may end up holding less DOLA than expected.
Liquidation risk: If you do not add sufficient collateral to your Anchor position and the prices of your borrowed assets depreciate beyond your loan to value ratio, you may get liquidated.
Dollar peg risk: The DOLA stablecoin USD peg may fail during extremely abnormal market conditions.