Want to make quick money with DeFi? Understand the risks first.

I've seen many people rush into the USD1 lending pool, only to be liquidated after a sudden plunge. Honestly, every profit story has risks behind it. Let’s talk about a few of the most common—

**Code risk is unavoidable**
Although Liste has undergone multiple audits and has a pause mechanism for protection, it doesn’t change the fact: complete safety simply doesn’t exist. Smart contracts are code, and code can have vulnerabilities. The key is that risks are present, and you need to consider whether you can handle them.

**Liquidation risk is the meat grinder**
Friends who collateralize BNB to borrow USD1 are most likely to fall here. You collateralize 100 BNB, everything looks good—until BNB suddenly crashes. Your collateral value drops below the liquidation threshold, and the system automatically sells some of your BNB to repay the debt—no negotiations. In the end, not only do you fail to earn profits, but your principal also shrinks.

**The arbitrage cake can break**
Borrow low-interest USD1 to invest in high-yield products? Sounds great, but interest rate spreads are not ironclad. If a leading platform suddenly adjusts its lending rate, or network congestion causes delays in your operations, your gains disappear. Sometimes it’s not your strategy that’s the problem, but the market has changed.

**So, what’s the way to play?**
Start small, think deeply. Begin with small amounts, study every button carefully. Set price alerts to monitor your collateral’s market. And most importantly—never move the capital you can’t afford to lose. DeFi is powerful, but it should be used with reverence.