> ## Documentation Index
> Fetch the complete documentation index at: https://docs.dynamo.finance/llms.txt
> Use this file to discover all available pages before exploring further.

# Risk Dashboard Overview

> A live risk monitoring dashboard surfacing global and per-market risk parameters pulled directly from the Morpho protocol — your go-to reference for understanding market health and exposure on Dynamo.

The Risk Dashboard is Dynamo's live risk monitoring interface. It pulls data directly from Morpho Blue smart contracts and the Morpho REST API to give you a real-time picture of the health and risk exposure of every market on Dynamo for a given chain.

Data refreshes every 5 minutes. The **Updated** pill in the page header shows when the last fetch occurred.

## What the dashboard shows

### Global risk metrics

At the top of the dashboard, four pills give you a chain-scoped snapshot:

| Metric      | Description                                                           |
| ----------- | --------------------------------------------------------------------- |
| **Markets** | Count of active Morpho Blue markets with at least one supply position |
| **TVL**     | Total value locked across all markets, in USD                         |
| **Flagged** | USD value of markets classified as Medium or High risk                |
| **Updated** | Age of the last data fetch                                            |

The **Systemic Risk Score** (0–100 gauge) is a TVL-weighted composite of five signals: rate volatility, utilization stress, liquidation clustering, liquidity concentration, and oracle dependency. A score above 65 indicates multiple components are co-flagging, proceed with caution.

The **Protocol Heat** score reflects [Morpho lending](https://dynamo.finance/) activity sentiment on the connected chain, while the external **Fear & Greed** widget shows broader crypto market sentiment from [alternative.me](https://alternative.me/crypto/fear-and-greed-index/).

### Per-market risk parameters

Select any market to drill down into:

* **30-day APY Trend / Stability** — sparkline of borrow APY over the trailing 30 days
* **Liquidation Map/ Clusters** — groups of borrowers stacked near the same liquidation threshold
* **Oracle Risk** — how trustworthy is an Oracle
* **Liquidity Depth** — how much liquidity is available to be borrowed and withdrawn
* **Borrower Health Factors** — live health factor distribution across all open positions
* **Stress Zone %** — share of borrowers with health factor below 1.5
* **Liquidation Penalty (LIF)** — the bonus liquidators receive; derived from LLTV
* **Realized Bad Debt** — cumulative debt written off and socialized to lenders
* **Unrealized Bad Debt** — currently underwater positions not yet written off

### Risk tier classification

Every market receives one of three risk tiers based on LLTV, TVL, and market age:

| Tier       | Meaning                                                                                     |
| ---------- | ------------------------------------------------------------------------------------------- |
| **Low**    | Large, mature market with conservative LLTV. Suitable for most users.                       |
| **Medium** | Mid-sized or younger market, or moderately aggressive LLTV. Suitable for experienced users. |
| **High**   | Small, new, or aggressively parameterized market. Treat as experimental.                    |

### Actionable insights

The dashboard surfaces up to 5 ranked insights, warnings about borrow pressure, forming liquidation clusters, oracle concentration risk, APY anomalies, and safer market alternatives. Critical insights are flagged prominently.

## How to use the dashboard

1. **Check the Systemic Risk Score** before supplying or borrowing. A score above 65 means multiple risk signals are elevated.
2. **Review the Flagged TVL banner** to see what share of chain liquidity sits in Medium or High risk markets.
3. **Select a market** to inspect its per-market signals before committing capital.
4. **Read Actionable Insights** for specific warnings about markets you're considering.

<Warning>
  Every score on the Risk Dashboard is a heuristic for surfacing patterns, not a liquidation predictor, and not financial advice. Always verify underlying market parameters (LLTV, oracle, curator, liquidity) before transacting.
</Warning>