Silo Finance
1 known investors
Silo is a decentralized money market protocol designed to support lending and borrowing across a wide range of assets, including tokenized value. It aims to create isolated, transparent markets with reduced liquidity dependency and yield generation.
Also known as Silo Β· SILO Β· Silo Protocol
Investors Β· 1
Company profile
researched Aug 2026Silo Finance is a non-custodial lending protocol that lets users borrow one crypto asset against another posted as collateral. Its core design principle is risk isolation: each token asset has its own dedicated market, or "silo," so a deposit is exposed only to the specific assets in that market rather than to shared, protocol-wide risk. The protocol is permissionless, supporting token assets on the chains where it is deployed, with collateral factors adjustable at the individual silo level, and it uses a bridge asset to connect silos so that liquidity can move between them and any collateral token can be used to borrow another.
The current generation, marketed as Silo v3, extends isolated lending to assets that are illiquid or lack deep decentralized-exchange markets, including real-world assets such as tokenized bonds, invoices and real estate, tokenized stocks and commodities, LP tokens, perpetual derivatives and long-tail tokens. Silo states that its liquidation design does not depend on DEX liquidity: where on-chain liquidation cannot be executed, collateral is delivered directly to lenders at full value, which the protocol positions as protection against bad debt during market crashes or liquidity shortages. Lenders can earn from three streams β borrower interest, liquidation fees and any appreciation of collateral received. The product is presented in two user-facing forms: Earn, covering single-asset and multi-asset vaults, and Borrow, covering isolated lending markets, with per-market risk maps covering oracle reliability, collateral assessment, liquidation behavior, technical setup review and bad-debt tracking, plus a position simulator and real-time position health metrics.
SILO is the protocol's native governance and alignment token. It has been issued on Sonic, Arbitrum One and Ethereum contracts, and a migration from an older token contract to a new one has taken place.
Business model
Silo operates an on-chain lending market where lenders supply assets to isolated markets or vaults and borrowers post collateral to draw loans. Value accrues to lenders through borrower interest, liquidation fees and collateral received in liquidations, while the SILO token is positioned to align stakeholders with protocol growth and adoption.
Traction
Reported total value locked was about $9.67 million. SILO circulating supply was approximately 612.2 million against a total supply of about 919.5 million and a 1 billion maximum supply, with 24-hour trading volume of $9.10 and no trades recorded in the prior 24 hours; CoinGecko noted that SILO had stopped trading on all exchanges it lists about a month prior. The token's all-time high was $0.06047 on 2025-05-10. Public code repositories show ongoing commit activity into 2026.
βΈFull profile β market position, technology, go-to-market, geography, history, risks & controversies
Market position
Silo is categorized as a decentralized finance lending and borrowing protocol within the Arbitrum and Sonic ecosystems. Third-party data placed the total value locked in the protocol at approximately $9.67 million, with the SILO token ranked #3531 by market capitalization at roughly $378,000 and a fully diluted valuation of about $567,000.
Silo isolates risk per asset market rather than pooling collateral protocol-wide, and its liquidation mechanism is designed to function without relying on DEX liquidity by transferring collateral directly to lenders when on-chain liquidation is not possible. It also emphasizes per-market risk transparency and permissionless support for assets, including illiquid and tokenized real-world assets, that mainstream money markets typically exclude.
Technology
The protocol is built in Solidity with a modular architecture and an ERC-4626 vault interface intended to simplify integrations and permissionless market deployment. A Hooks mechanism allows developers to attach custom logic to individual lending markets. Silo publishes its contracts openly, including a monorepo for V3 contracts, a V1 core repository, liquidation helper contracts and ABIs, market-creation and lender-snapshot tooling, and subgraph code. Security practices cited include third-party audits, formal verification, testing suites, live event monitoring and tracing, membership of the Security Alliance's Safe Harbor, and an Immunefi bug bounty with rewards of up to $350,000.
Go-to-market
Users access the protocol directly through the Silo web application and documentation, while developers integrate via open-source contracts, the ERC-4626 interface and Hooks. Community and distribution channels include X, Telegram, Discord and Snapshot governance, and the SILO token is listed on centralized venues such as BitMart.
Depositors seeking yield on crypto and tokenized assets, borrowers who want to leverage collateral including long-tail and illiquid assets, and developers or market creators integrating or deploying lending markets on top of the protocol.
Geography
Silo operates as an on-chain protocol accessible globally; deployments span Ethereum, Arbitrum One and Sonic. One directory lists the company's country as the United States.
History
Silo's first-generation contracts (silo-core-v1) and hackathon-era interface and subgraph repositories predate the current V3 monorepo for Silo Protocol contracts, and the protocol now markets Silo v3. The SILO token migrated from an older contract to a new one, and the token is deployed on Ethereum, Arbitrum One and Sonic.
Risks & controversies
Silo Finance was reported among multiple DeFi protocols hit by exploits, with an accompanying price decline. Token market data shows severely reduced liquidity: SILO trading had ceased on exchanges tracked by CoinGecko, 24-hour volume was $9.10 and the token reached an all-time low of about $0.0000001617 on 2026-04-10, well below its 2025 high. The protocol also underwent a token contract migration, which requires holders to move from the old contract.
Compiled by commissioned research from 8 cited public sources β announcements, filings, and press listed under research sources below.
Key figures
latest reportedCompany-reported or press-reported figures, each dated to when it was claimed β not independently audited.
Timeline Β· 4
launches, deals, and filingsThe SILO token migrated from its previous contract to a new contract; the token is tracked on Ethereum, Arbitrum One and Sonic.
SILO tokens stopped trading on all exchanges listed by CoinGecko approximately one month before the data snapshot; 24-hour volume stood at $9.10.
Silo Finance was reported among multiple DeFi protocols hit by exploits, accompanied by a decline in the SILO token price.
Silo markets Silo v3, offering isolated lending markets and vaults for assets including real-world assets, tokenized stocks and commodities, LP tokens, perpetual derivatives and long-tail tokens, with a liquidation system that delivers collateral to lenders when DEX liquidations cannot be performed. A monorepo for Silo Protocol contracts V3 is published publicly.
Dated company events from announcements, filings, and press; legal rows summarize public dockets and regulator releases.
βΈResearch sources Β· 8
primary sources listed
- Silo Financesilo.finance Β· web
8 public sources were cited for this profile; the first-party ones are listed here.
Frequently asked questions
- What does Silo Finance do?
- Silo Finance is a non-custodial DeFi protocol offering isolated lending and borrowing markets for a wide range of on-chain assets.
- Who are Silo Finance's investors?
- Silo Finance's investors include Electric Capital.