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Glossary

Silo Finance

An isolated-pool lending protocol: each asset has its own paired silo with a base asset, so a single bad listing can't contaminate the whole protocol.

Silo Finance contains risk by giving every collateral asset its own isolated lending market, paired with a base asset (ETH, USDC, XAI, …). A vulnerability in one silo's collateral cannot drain other silos, which is what limits the blast radius of a long-tail asset exploit.

The model fits naturally with the recent shift toward isolated lending (Morpho Blue, Euler v2, Aave's isolation tier). Silo is deployed across Ethereum, Arbitrum, Optimism, and other EVM L2s.