There are numerous risks associated with Root. This is not an exhaustive list.

  • The Root code base is novel and has not been tested in the "real world" prior to the initial Root deployment. The open source nature of Root means that others can take advantage of any bugs, flaws or deficiencies in Root and launch identical or very similar Beanstalk fungible Silo Deposit wrapper token implementations.

  • Root is deployed on the Ethereum network. The security of the Ethereum network is assumed.

  • Root is dependent on Beanstalk, and therefore inherits all of the risks associated with Beanstalk. The security of Beanstalk is assumed. For an exhaustive list, consult the Beanstalk Whitepaper and Beanstalk DAO Disclosures.

  • The potential friction to Mint Roots due to the Stalk or Seed per Root ratios can make doing so unattractive, thereby limiting supply.

  • The permissionless and pro rata nature of Root makes it impossible to regulate the ownership distribution of Roots.

  • The owner of Root (the Root DAO Multisig) is potentially vulnerable to compromise.

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