DeFi Guradian
DeFi Guardian monitors protocol risk and publishes real-time on-chain health scores for DeFi.
What it is
We built DeFi Guardian, an automated risk monitoring system for decentralized finance protocols.
Problem
Today, DeFi users trust protocols with billions of dollars, but most users don’t have real-time insights into protocol health or risk.
When a protocol’s liquidity drops, TVL collapses, or market conditions change, users often find out too late, after funds are already at risk.
So the key problem is:
There is no simple, automated system that monitors DeFi protocol health and publishes it transparently on-chain.
Solution
DeFi Guardian continuously monitors protocol health metrics and publishes a health score directly on-chain.
Our system automatically evaluates:
- Total Value Locked (TVL)
- Market conditions via Chainlink price feeds
- Protocol activity data from DeFiLlama
These signals are combined into a health score from 0–100 that represents protocol stability.
How It Works
Our architecture has three components:
Oracle Publisher
A backend script fetches real-time DeFi data from DeFiLlama and calculates a health score.
Smart Contract Registry
We deploy a ProtocolHealthRegistry smart contract on Arbitrum Sepolia that stores health records for protocols.
Frontend Dashboard
The Lovable-generated UI reads these scores from the blockchain and displays real-time protocol health.
So the flow is:
DeFiLlama Data
↓
Oracle Publisher
↓
ProtocolHealthRegistry Smart Contract
↓
Frontend Dashboard
Everything is transparent and verifiable on-chain.
How it Works
DeFi Guardian is built using a full-stack Web3 architecture:
Smart Contracts
- Solidity smart contract (ProtocolHealthRegistry)
- Deployed on Arbitrum Sepolia
- Stores protocol health scores and historical data
Backend Oracle Publisher - Node.js + TypeScript
- Fetches protocol data from DeFiLlama
- Computes protocol health scores
- Publishes results on-chain
Chainlink Integration - Chainlink ETH/USD Price Feed
- Used to incorporate real-time market conditions into risk evaluation
Frontend - React + Vite
- Lovable-generated UI
- Uses ethers.js to read health data from the smart contract
Development Tools - Hardhat for smart contract deployment
- TypeScript backend scripts
- Arbitrum testnet infrastructure
Links
Created by
- Dinesh Bingi
- botla varshini