Indigo

Indigo is outside the current firm shelf because it falls within the rejected-chain policy class. This is a firm-policy decision, not an adverse quality rating or a client trade instruction. We retain the facts on its mechanism, control, loss, and exit below.

Review triggers: events that reopen the verdict
• Deploys meaningful independently verified liquidity on a chain the registry approves
• The Cardano chain verdict changes

Watched nightly: a warning on its venues or files, or a cited document that changes, reopens the memo. The first confirmation is due 2026-11-15.

The research file

Mechanism and chain applicability

Indigo documents a Cardano-native synthetic-asset system. A user opens a collateralized debt position, locks accepted collateral, and mints an iAsset. Stability pools absorb liquidated debt, and redemptions exchange iAssets for collateral from eligible CDPs. Cardano transactions and protocol scripts carry out every action with economic effect, placing Indigo in the rejected-chain class.

Current observation and perimeter

The DefiLlama protocol API read on 2026-08-15 classified Indigo as CDP, reported approximately $3.84M, and listed only Cardano. Indigo’s current V3 documentation also describes Cardano collateral and iAsset operations, not a deployment on another settlement chain. The record is therefore Cardano-only; the low TVL is secondary.

Control, loss and exit applicability

Protocol parameters, price feeds, collateral ratios, liquidations, stability pools, and redemptions determine a holder’s loss and exit paths. Indigo governance and audits can limit risks specific to the protocol, but they cannot settle a Cardano transaction elsewhere. A chain halt, consensus failure, or unavailable Cardano infrastructure would prevent minting, liquidation processing, and redemption regardless of protocol solvency.

Why the shared dossier decides

The v1 rejected-chain policy applies because Indigo has no reviewed deployment outside Cardano. This is a settlement-layer exclusion, not a finding against Indigo’s contracts or governance. Reopen only if Cardano passes the chain framework or Indigo establishes material, independently verified liquidity on an approved chain; then review the product’s collateral, oracle, governance, audits, incidents, liquidity, and stressed redemption.

Class rule

The rejected chain class is outside the approved structures, so every protocol in it is not approved until the rule changes. The rule is about the structure, not an adverse finding about this protocol, and it is not a client instruction. The events that would reopen it are listed with the memo.

Sources

The claims above trace to these. Where a number could not be independently verified, the thesis says so.

• Indigo — protocol overview · primary · accessed 2026-08-15
  Supports: Cardano protocol, synthetic iAssets, collateralized debt positions, protocol identity
• Indigo — current V3 architecture · primary · accessed 2026-08-15
  Supports: current version, Cardano collateral, iAsset mechanics, protocol controls
• Indigo — CDP mechanics · primary · accessed 2026-08-15
  Supports: collateral deposit, iAsset minting, collateral ratio, liquidation exposure
• Indigo — redemptions · primary · accessed 2026-08-15
  Supports: iAsset redemption, collateral exit, eligible CDPs, Cardano transaction
• Indigo — audits · primary · accessed 2026-08-15
  Supports: audit record, contract review, protocol security boundary
• DefiLlama — Indigo survey record · secondary · accessed 2026-08-15
  Supports: current TVL, Cardano-only perimeter, CDP category, survey observation

Inherited controls

The research above describes the protocol layer. Every position also inherits the asset it holds and the chain it settles on. The layer with the most administrative power sets the position’s effective control; that describes control, not quality or suitability.