> For the complete documentation index, see [llms.txt](https://docs.flurry.finance/flurry-finance/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.flurry.finance/flurry-finance/security/risks.md).

# Risks

**As with any investment, there are risks associated with yield farming DeFi protocols**.&#x20;

The Flurry Protocol is no exception, and we want to be open with you about the possible risks users can incur:

{% hint style="info" %}
Flurry Protocol smart contract risk
{% endhint %}

While Flurry is undergoing audit, and will continue to stress test the protocol, it is possible for logic errors in the algorithms to occur in the smart contracts that could lead to the loss of funds for rhoToken and $FLURRY holders.&#x20;

{% hint style="danger" %}
Third-party protocol risk
{% endhint %}

The Flurry Protocol makes use of other DeFi Protocols like Compound, Aave, and C.R.E.A.M. to generate yields. These protocols themselves are open to smart contract risks, despite their longstanding position in the crypto community, good track records, and completed audits. Failures in these protocols could lead to the loss of funds for rhoToken holders.&#x20;

{% hint style="danger" %}
Stablecoin risks
{% endhint %}

While stablecoins are inherently stable, it’s important to note that they may fluctuate in value from time to time, which would result in the fluctuation of the rhoToken tied to it. Each one of the stablecoins Flurry uses has in the past had these periods of fluctuation. While rhoTokens are tied 1:1 with underlying stablecoins, it does not guarantee the backing stablecoins will maintain their value.&#x20;

## Use At Your Own Risk

With these considerations in mind, Flurry Financial advises users to use the Flurry Protocol at their own risk. And as always in the world of crypto, never deploy more than you are willing to lose.


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