Why it matters
A design that traps client assets if the operator misbehaves can breach custody obligations, trigger enforcement actions and cause irrecoverable user losses.
Risk Triggers
Governance Failure
Operator Censorship
Sequencer Downtime
Smart Contract Bug
Controls & Mitigations
Sign in to view the monitoring controls, controls mitigations, and mitigation guidance for this red flag.
Risk profile
Sign in to view the risk matrix, time sensitivity, categories, impacted components, and detection methods for this red flag.