Risks and security
In one paragraph: Trion V2 is a derivatives system whose prices come from outside data, whose fills come from other users, and whose code has been reviewed internally but not independently audited. It is live on Robinhood Chain (4663) with USDG collateral: CMPT capped options from the activation time on the status page, traded on the desk at app.trion.market; the CMPT-USD perpetual runs as an open beta with real USDG. This page lists what can go wrong, in the order you are most likely to meet it, so that no later page can be read as a promise of safety. The plain-language disclosures are in Risk disclosures; this page adds the mechanism behind each.
Deployment status, stated plainly
- The shared V2 stack and the CMPT modules are deployed and verified on chain 4663; the option stack activates at the time listed on the status page. The CMPT-USD perpetual is in open beta (open to everyone at app.trion.market) with its own
PerpetualV2,OrdersV2andCloseoutRouterV2contracts. The olderCMPTperp module set in the same manifest was never listed. The status page is the single list of what is live and what is in beta. - The collateral is USDG (
0x5fc5360D0400a0Fd4f2af552ADD042D716F1d168, six decimals). It is a stablecoin with its own issuer and peg risk that Trion does not control. Older release prose called the collateral USDC; that was a documentation error, not a second supported token. - The manifest the matcher, oracle and desk load is verified against the chain's genesis hash and an anchor block on every load; a manifest copied to another chain, or edited by hand, fails closed. The desk refuses any chain other than the one its verified manifest and the matcher agree on.
- The release notes (
docs/RELEASE_V2.md§6) carry a register of fourteen internal review findings (REG-01…REG-14), several rated critical (signature replay in strategy execution, reservation clearing, worker-pool crash recovery, batch-revert rollback). Remediation code exists against many of them, but no third-pass closure review has signed any of them off. Do not read the old rows as "all still open", and do not read a later change message as "all fixed". - Internal reviews and passing test flows are not an audit. No third-party audit report exists.
Price and source risks
- Freshness. DRAM and NAND sources update daily; a stale day is a stale price. The system halts rather than guesses, which means you may be unable to trade or withdraw with a position exactly when you want to.
- Trust. Two of three committee signers can publish any index that both can reproduce from their own observation databases. Each signer service holds one key, refuses to sign what it cannot recompute, refuses to sign two different payloads for the same sequence, and refuses sources without a licensing approval on file; that limits a single compromised signer or a dishonest coordinator, not two colluding signers. Source membership is governed, not open.
- Gaps. A move above 3% in one step halts the market. When trading resumes, it resumes at the new real index; there is no staircase of intermediate prices. A 50% gap lands on positions in full.
- Discontinuity in options. Strictly after expiry plus 72 hours with no fixing, permissionless severing uses a fresh, compatible positive NORMAL mark or, if that mark is unusable and the market is not HALTED, the maximum spread payout. HALTED blocks severing. A late fixing or the gated governance fallback can resolve the series; this fallback is not the historical expiry fixing.
Liquidity and counterparty risks
- Every fill needs a counterparty. On the V3 options book, Trion's own market maker quotes as an ordinary participant and may withdraw at any time; there is no obligation to quote and no house guarantee of an exit. On the perp book every ordinary fill needs a counterparty's order; Trion's market maker participates but guarantees no depth, continuous quotes or exits. In the general perp design liquidation fills also come from the book and slow mode after 4 hours still needs real signed counterparties; in the CMPT-USD beta neither applies (see the next point). Empty book means no exit.
- Operator-cleared perp beta. In the CMPT-USD beta Trion's matcher settles every trade on chain and Trion's keeper runs liquidations, closing a liquidated position in full into Trion accounts. No ADL queue, backstop vault or slow-mode endpoint is deployed for CMPT-USD, so there is no independent forced-exit path: if the matcher or keeper is down you can cancel or hard-revoke on chain, but you cannot close or be closed until it returns, and losses keep accruing at the mark. Funding is off and fees are 0%, so the mark equals the index. Position and open-interest caps are small. Testers may receive a small starter balance of real USDG; losses and profits are real. A flat account with negative trading cash cannot withdraw, even with positive free cash; additional deposits increase free cash but do not repay negative trading cash. Accounts with an open position also need sufficient margin after withdrawal and a fresh NORMAL market.
- Adverse selection. Resting orders get hit when they are wrong. Rebates and DLMM fees reduce, not remove, this; a V3 resting order pays no fee and earns nothing for being stale.
- Backstop is only what was deposited. In the general perp design the backstop vault is finite and may be zero at launch; an unfunded vault provides no protection, and after it is exhausted profitable traders are auto-deleveraged and a residual deficit is declared rather than covered. For CMPT-USD no backstop vault and no ADL queue are deployed at all.
Contract and software risks
- Contracts are non-upgradeable by design; a bug cannot be patched in place, only replaced with a new deployment and a user-authorized migration.
- The perp matcher and the V3 options book service are single-writer services operated by Trion. If one is down or censoring, you can still cancel or hard-revoke orders (
cancelOrder,advanceEpoch) directly on chain, but you cannot trade or close positions until it returns. V3 fills are settled by Trion's matcher key; the contract lets that key execute only fills that respect each signed order's price, quantity, expiry, epoch and cancel state, and it can never move cash without a matching signed order. For CMPT-USD, a flat account with negative trading cash cannot withdraw, even with positive free cash; additional deposits increase free cash but do not repay negative trading cash. Accounts with an open position also need sufficient margin after withdrawal and a fresh NORMAL market. - Signed orders are standing authorizations until expiry, cancel or revocation. Closing a browser does not cancel them.
- The desk refuses, rather than guesses, when the chain is wrong: the deployment getters in
v2-config.tsthrow for any chain id without a verified manifest, and every signing or sending helper re-checks the matcher's configured chain, the wallet state and a fresheth_chainIdbefore acting. If the wallet is on another network the desk asks it to switch to Robinhood Chain (4663) and refuses to act until it has. This is a browser-side guard; a modified or third-party client is not bound by it. - Trion AI chat. The assistant turns plain-English requests into orders and can misread a request (size, side, price, ladder range). Every order, cancel or close it proposes is shown as a confirmation card and is sent only after you click Confirm; read the card, not the chat. It runs on your own OpenRouter account and credit, with a model (Claude, GPT or Gemini) that Trion does not operate. Your OpenRouter key is stored encrypted on your device (a non-extractable browser key) and is never sent to Trion's servers; protect the device and browser profile that hold it.
- MCP connector for external AI apps. Once you approve a connection with your wallet at app.trion.market/#/connect, the connected app can read your account (
trion:read) and, if granted, place, cancel and close trades on the approving wallet's account (trion:trade) within the same limits as the app. A connected AI app acts on what it understood, which may not be what you meant. Granttrion:tradeonly to apps you trust and revoke it at any time under "Connected apps". The connector is in beta and open to any wallet since 2026-09-26. - Governance is a single address (
0xc37e…e17cin the verified manifest), not yet a multisig with a timelock. Governance and all five fixing-council seats are Trion-held at launch. For the V2 series governance must also disable the market at the 24 h trading cutoff before each expiry; a missed action is an operational risk. On V3 the cutoff is enforced by the contract, and governance can list series, set fees, set deposit caps, pause deposits and fills, halt a series and withdraw accrued fees. No governance function debits or withdraws trader cash, but governance sets fees within each order's signedmaxFeeBpsand, only in thegovernanceSettlefallback (72 h after expiry while the oracle is HALTED), chooses the settlement price that decides how collateral moves between shorts and longs.
Network and governance risks
- Batch inclusion depends on the chain; a 100 ms flush target is not a confirmation guarantee. Reorgs roll back confirmed-looking fills and the engine replays. No confirmation-depth policy has been set from real chain evidence.
- Public RPC endpoints are not private; front-running of your revocation or withdrawal is not ruled out.
- Governance can halt markets, rotate signers and manage configuration within contract gates. It cannot rewrite terminal claims or withdraw reserved sleeve cash.
OptionEngineV2.governanceSettlepermits a discretionary price only for an unfinalized series strictly after expiry plus 72 hours, with no existing fixing and a HALTED oracle. A 3-of-5 council plus governance can set any X within the option caps through a bonded correction. These are governance trust assumptions for buyers and writers, not independent price evidence.
What you should assume
| Assumption | Reality |
|---|---|
| "My funds are insured" | No. Backstop is finite, possibly zero; for CMPT-USD there is none. |
| "I can always close" | No. You need a counterparty and a healthy price. In the perp beta you also need Trion's matcher to be up. |
| "Someone else can force-close me if Trion is down" | No. In the CMPT-USD beta only Trion's keeper liquidates; there is no permissionless closeout, ADL or slow mode. |
| "The mark can't be manipulated" | In the general design it is bounded to ±0.5% of I and excludes self-quotes, but I itself depends on two signers. In the perp beta the mark is the index. |
| "The AI knows what I meant" | No. It can misread a request. In the desk chat nothing is sent until you click Confirm; a connected MCP app with trion:trade acts on its own reading. |
| "The beta is play money" | No. Beta balances are real USDG; losses and profits are real. |
| "Passing tests means safe" | No. Local flows prove wiring, not security. |
| "This is audited" | No. Internal review only; no independent audit exists. |
Reporting problems
No public bug-bounty programme or dedicated security contact is documented in this repository yet; the benchmark statement records the bonded fixing challenge as the formal dispute route and a non-bonded complaints channel as work in progress. Do not send funds to any address claiming to be a Trion support or recovery address.
Source trail: docs/spec/V2_ARCHITECTURE.md §1.2, §2.1, §2.4, §3.6, §4.4, §5.4, §6.1; docs/RELEASE_V2.md §6 (REG-01..REG-14); overdrive/deployments/v2/4663.json (governance, quote, verification anchors); overdrive/deployments/v2/4663.perps.json (market CMPT-USD: closeoutRouterKind: "operator-eoa", zero adlQueue / backstopVault / slowModeEndpoint); overdrive/exchange/web/src/v2-config.ts (getV2PerpsDeployment, getV2OptionsDeployment), wallet.ts (requireV2Chain, switchChain); overdrive/exchange/core/src/deployments.ts (parseVerification), v2-bindings.ts; overdrive/exchange/oracle/src/signer.ts, v2-runtime.ts (assertProcessKeySeparation, rightsApproval), publication-evidence.ts (reserveSignature); overdrive/src/v2/options/OptionEngineV2.sol (severSeries, governanceSettle); overdrive/src/v2/FixingCouncilV2.sol.
Repository-owned documentation · October 2026 · Educational material, not investment advice and not an audit.