NoFrame core is research-stage software. It is not yet audited — external audits are planned before any production release. Until then, treat the code as experimental and do not deposit funds you cannot afford to lose.

The CDP engine derives from the Liquity and Prisma Finance designs, which have a long production track record. NoFrame adapts that core for tokenized fixed-yield collateral (e.g. Pendle Principal Tokens) and an immutable, DAO-parameterized deployment.

• Oracle. Collateral pricing relies on Chainlink feeds and a Pendle market TWAP. A stale or manipulated feed is the primary external risk surface.
• Governance. The Controller owner (intended to be the DAO via AdminVoting) can set system parameters and pause new borrowing.
• Collateral. Each supported collateral is a fixed-yield token whose value converges to par at maturity; oracle logic must account for the maturity curve.

The test/unit suite exercises the core money-path invariants without a fork:

• fixUSD minted on borrow equals the amount received by the borrower;
• position debt always includes the gas-compensation reserve;
• MCR is enforced on collateral withdrawal and on additional borrowing;
• liquidation only succeeds below the MCR, and the Stability Pool offset pays the seized collateral to depositors while reducing system debt;
• redemptions are gated by the bootstrap period and burn fixUSD against the lowest-collateralized position.

Please report suspected vulnerabilities privately by opening a security advisory on the repository rather than a public issue.