# ALPS RISK Framework

#### Multi-Layered Protection

**Layer 1: Position-Level Risk**

* **Delta Monitoring**: Continuous delta calculation with 0.01 precision
* **Liquidation Protection**: Dynamic margin management
* **Correlation Limits**: Maximum 70% correlation between positions

**Layer 2: Portfolio-Level Risk**

* **Value at Risk (VaR)**: 1% daily VaR limit
* **Maximum Drawdown**: 5% maximum portfolio drawdown
* **Concentration Limits**: No more than 30% in single asset

**Layer 3: Protocol-Level Risk**

* **Smart Contract Audits**: Continuous security monitoring
* **Oracle Manipulation**: Multiple price feed validation
* **Bridge Security**: Trusted bridge protocols only