# Risk Domains Multistake recognises four independent risk domains: #### **(1) Execution Risk** Related to the behaviour of strategies operating on each plane.\ Examples: * failed trades * LP position divergence * stuck execution * funding-rate volatility * slippage beyond expected bounds Execution risk is confined to the strategy that incurred it; NAV is protected by validation. #### **(2) Oracle & Validation Risk** Concerns misreporting, stale data, or mismatched valuations. Mitigations: * multi-source price checks * TWAP and deviation checks * temporal consistency * freeze-on-failure behaviour Oracle errors cannot inflate NAV; they only exclude data. #### **(3) Bridge & Settlement Risk** Applies to capital movements between planes: * cross-chain bridge congestion * delayed settlement * partial or failed unwinds Multistake addresses this by: * delaying share burning * enforcing withdrawal queues * rejecting unvalidated returns #### **(4) Liquidity Risk** Pertains to user withdrawals when capital is deployed across planes. Controlled by: * minimum zkSync idle liquidity * strict FIFO withdrawal queues * deterministic unwind instructions These domains operate independently to prevent multi-layer compounding failures. --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://multistake-1.gitbook.io/multistake-docs/documentation/oracle-architecture/risk-model/risk-philosophy/risk-domains.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.