Ketchup

Problem Statement

DeFi Risk Oracle is a system that evaluates the safety of external stablecoins or vaults by combining off-chain data, audit information, market conditions, and an AI-powered risk model executed through Chainlink CRE.The workflow retrieves data from external APIs (TVL movements, liquidity changes, audit reports, depeg signals, market volatility), processes it in an isolated CRE execution environment, and outputs a verifiable riskScore (0–100).The on-chain contract receives this score and updates the asset’s status to safe / warning / unsafe, enabling protocols to react automatically (pause deposits, limit borrow caps, or alert users).The project aims to reduce incidents similar to the Morpho / XUSD case by providing transparent, reproducible, and tamper-proof risk analytics directly available on-chain.

Solution

The project integrates several components working together. The core logic is a Chainlink CRE workflow, which orchestrates the full risk-assessment process: fetching off-chain data, cleaning it, executing the risk model, and returning deterministic results to a smart contract.The backend uses Node.js + TypeScript to expose helper endpoints and transform raw API responses. The CRE task calls these endpoints securely. The CRE workflow is developed using the CRE CLI, tested with local simulations, and prepared for deployment on the CRE test network.On-chain, the project includes a RiskOracle.sol contract deployed on a testnet (Sepolia), which stores the riskScore and emits events when asset status changes. For the frontend, a small dashboard (Next.js) displays the latest score, execution history, and risk flags.Everything is designed to be simple, transparent, and easy to demo during the hackathon while showcasing a real CRE orchestration layer.