Interest Rate Derivatives · Review
ActiveIPOR Derivatives Review 2026: Interest Rate Swaps and Fusion Vaults
IPOR Derivatives is an on-chain interest rate swap protocol built around the IPOR rate index, and its app now leads with Fusion vault infrastructure. It is a specialist DeFi product with small TVL and few published details.
By the DappsAtlas editorial team · Updated
DappsAtlas score
6.0/10
Mixed
Our verdict on IPOR Derivatives
6.0/10IPOR Derivatives suits DeFi users who want to hedge or speculate on interest rates, and yield seekers comfortable depositing into curated vaults. Its main strength is a focused, non-custodial rate index and swap design, plus Fusion's flexible vault tooling across major lending protocols. The main caveat is size and transparency: TVL is under $500,000, fees and audit details are not published in the material reviewed, and vault deposits carry layered smart-contract and curator risk. Treat it as a specialist tool and size positions accordingly.
Score breakdown
How IPOR Derivatives scores
- Security
- 6.0/10
- Ease of use
- 6.5/10
- Fees
- n/a
- Features
- 6.5/10
Scores run from 0 to 10 and are based only on facts we could verify. Where information was missing we mark the score n/a rather than guess.
What is IPOR Derivatives?
IPOR Derivatives is the interest rate derivatives side of IPOR, a DeFi project built around a permissionless interest rate index. DefiLlama describes IPOR Protocol as an interest rate derivative exchange where users hedge exposure through non-custodial on-chain interest rate swaps. It has been listed since October 2022 and runs on Ethereum, Arbitrum and Base.
The official app now leads with Fusion, described as onchain vault infrastructure. Users can deploy and manage vault strategies, or earn through vaults curated by outside managers, across lending protocols such as Aave, Morpho, SparkLend and Euler. The product mix has therefore moved from pure rate swaps toward yield vault tooling.
TVL is about $495,000, which is small, and DefiLlama lists no token. Two audits are listed, though the reports are not detailed in the material reviewed.
How IPOR Derivatives works
IPOR Protocol is built around an interest rate index that tracks DeFi lending rates. Interest rate swaps use this index so that one side pays a fixed rate and the other pays a floating one. That lets a user lock in a rate or take a view on where rates will move, without giving up custody of funds to a company.
The homepage now presents Fusion, a vault layer. Instead of trading swaps, a depositor puts assets into a vault, and the vault's strategy moves them among lending and yield protocols such as Aave, Morpho, SparkLend and Euler. A curator, called an Atomist, sets the strategy and rules.
Anyone can also create a vault, according to the site. The depositor benefits from automated allocation, but depends on the curator's choices and on the security of every protocol the vault touches.
6 features
Key features
01
On-chain rate index
IPOR is a permissionless interest rate index that serves as the reference rate for the protocol's swaps.
02
Interest rate swaps
Users can take non-custodial interest rate swap positions to hedge exposure to changing DeFi rates.
03
Fusion vault infrastructure
Fusion lets managers deploy and run vault strategies, and lets depositors earn through curated vaults.
04
Multi-protocol integrations
The homepage describes modular infrastructure across Aave, Morpho, SparkLend, Euler and others.
05
Curated strategies
Curators, called Atomists, set up and manage vault strategies. Public reporting mentions reward management rules they can define.
06
Multi-chain presence
The protocol is listed on Ethereum, Arbitrum and Base.
Pros and cons
What we like
- Focused product: an on-chain interest rate index and non-custodial rate swaps, a niche few DeFi protocols cover
- Fusion lets users either deposit into curated vaults or build their own
- Integrates with established lending protocols such as Aave, Morpho, SparkLend and Euler
- Live on three networks: Ethereum, Arbitrum and Base
- Listed on DefiLlama since late 2022, with two audits listed
Watch out for
- Small TVL of roughly $495,000 on DefiLlama, so liquidity for swaps and vaults is limited
- No governance or utility token is listed, so there is no token-based incentive layer
- Fee schedules, vault performance fees and swap costs are not published on the pages reviewed
- Interest rate swaps are a niche product and harder for newcomers to understand than spot trading
- Smart-contract risk is layered, because Fusion vaults depend on outside protocols such as Aave, Morpho, SparkLend and Euler
- Audit reports are not detailed, only a count of two listed audits
IPOR Derivatives fees
IPOR does not publish a fee schedule on the pages reviewed. Costs for opening or closing swap positions, and any management or performance fees on Fusion vaults, are not stated.
Users would see the applicable fees inside the app, on each vault or swap screen, before confirming a transaction. Network gas fees on Ethereum, Arbitrum or Base come on top of any protocol charges.
Is IPOR Derivatives safe?
DefiLlama lists two audits for IPOR, but the auditors, dates and findings are not given in the material reviewed. The team and any bug bounty or insurance arrangements are also not described. Check the project's documentation for the latest audit reports before depositing.
Swaps are described as non-custodial, so funds sit in smart contracts rather than with a company. That brings smart-contract risk, and Fusion vaults add further risk from each integrated lending protocol and from the vault curator's strategy. Rate swaps can also lose value when rates move against the position. Regulatory status is not stated. Only use funds you can afford to lose.
6 steps
How to get started with IPOR Derivatives
- 1
Open the official IPOR app and read the Fusion vault listings.
- 2
Choose a network (Ethereum, Arbitrum or Base) and connect a compatible crypto wallet.
- 3
Review a vault's strategy, curator, underlying protocols and fees before depositing.
- 4
Start with a small amount of the vault's supported asset and keep some native token for gas.
- 5
Approve and deposit, then track the position and any rewards inside the app.
- 6
For rate swaps, make sure you understand how fixed and floating legs settle before opening a position.
Who IPOR Derivatives is for
IPOR is for experienced DeFi users who already understand lending rates and want to hedge or fix yield, and for vault managers who want to launch their own strategies. Newcomers who only want simple staking or spot trading will find the swap side hard to follow.
IPOR Derivatives FAQs
What is IPOR Derivatives?
IPOR stands for Inter Protocol Over-block Rate. It is a permissionless interest rate index used by IPOR Protocol, an interest rate derivative exchange where users can hedge exposure through non-custodial on-chain interest rate swaps.
What is IPOR Fusion?
Fusion is the vault infrastructure shown on the IPOR app homepage. Users can deploy and manage their own onchain vault strategies or deposit into vaults curated by third-party managers, which the project calls Atomists.
Which blockchains does IPOR support?
DefiLlama lists Ethereum, Arbitrum and Base. Some Fusion vault pages shown in public reporting are on Base.
Does IPOR have a token?
DefiLlama lists no token for IPOR Derivatives. No token ticker is named in the material reviewed.
Is IPOR audited and safe?
Two audits are listed on DefiLlama, but the auditors and reports are not named in the material reviewed. Audits reduce risk but do not remove it, and vaults also carry the risks of the lending protocols they route funds into.
What are the fees?
The project does not publish a fee table on the pages reviewed. Swap, vault and performance fees would be shown in the app and on each vault page before you deposit, so check them there.
Why would someone use an interest rate swap?
Interest rate swaps let a user exchange a floating rate for a fixed one or the reverse. This can protect against falling yields or rising borrowing costs, and it can also lose money if rates move the wrong way.
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How we checked
Sources
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