Sturdy V1 Review 2026: Interest-Free Lending on Ethereum and Fantom

Sturdy V1 is a DeFi lending protocol that DefiLlama lists under the Lending category. It runs on Ethereum and Fantom, and its token ticker is STRDY. The protocol has been listed since March 2022.

The project describes its model as interest-free borrowing and high yield lending. Borrowers are not charged interest. The protocol stakes their collateral and passes the yield to lenders, which the project frames as a positive-sum alternative to standard lending markets.

The project does not include a current total value locked figure or the protocol's own homepage, so it is not possible to confirm how much capital is in use or how active the protocol is today. One staking data site describes the protocol as accepting interest-bearing tokens as collateral and says it enables leverage of up to 10x for yield farmers. That leverage level is a single-source claim and should be checked against the protocol's documentation.

A lending protocol connects people who have crypto to lend with people who want to borrow it. In a typical lending market, borrowers pay interest, and that interest goes to lenders. Sturdy's description reverses part of that flow. Instead of charging borrowers interest, the protocol takes the borrower's collateral and stakes it to earn yield.

That yield is then passed to lenders. In this design, the lender return is funded by the staking yield on the collateral rather than by a borrower interest payment. The description calls this a positive-sum model, meaning the protocol aims to pay both sides rather than one side at the other's expense.

The project does not show the exact interest and collateral parameters, how liquidations are triggered, or what happens to the yield if staking returns fall. Those details matter for a newcomer, so read the documentation before depositing.

Fees are not published publicly reviewed. Check the protocol's own documentation and its on-chain contracts for any borrowing, lending or performance fees, and for gas costs on Ethereum or Fantom.

DefiLlama lists two audits for the protocol. The project does not name the auditors, give audit dates or summarise findings, so the strength of that review cannot be judged from public sources alone.

Lending protocols carry smart-contract risk, meaning a bug or exploit in the contracts can cause loss. They also carry counterparty and collateral risk: if collateral falls in value quickly, positions can be liquidated, and if the staking yield that funds lenders drops, the economics of the model are tested. The project does not describe any past incidents, but they also do not confirm the protocol's track record in detail.

DeFi lending is not regulated in the same way as a bank deposit, and the project does not state a regulatory status for the protocol. Gambling age limits and responsible gambling rules do not apply to this product.

This suits experienced DeFi users who already understand collateral, liquidation and yield, and who want to research a non-standard lending model. It is less suited to first-time users who need a clear fee schedule, a named audit history or proof of current activity.