Hashlock, a provider of Web3 security and smart contract auditing, has completed a security audit for its partner Moria.
Moria Protocol is an open-source, decentralised finance platform on Bitcoin Cash that allows users to borrow MUSD, a USD-pegged stablecoin, by locking BCH as collateral. This offers flexible interest rates and fully transparent oracle-backed pricing.
The platform’s V1 upgrade allows borrowers to set their rates for a market-driven, capital-sufficient model, with loans that can be redeemed by third parties to maintain peg stability, and with undercollateralised positions that are liquidated below a 120% threshold. Mora’s goal is to support BCH holders in accessing liquidity without selling their assets, earn yield through liquidity provision, and be part of a customisable borrowing system. The platform also offers incentives aligned to support its floating peg and tradable loan NFTs.
Security audit of smart contracts
Cryptopolitan described Moria as an emerging USDT alternative, offering transparency, flexibility, and censorship resistance where centralised stablecoins lack. Moria’s launch follows a pre-release test phase in which an early prototype of MUSD circulated live on the mainnet. During the test phase, the protocol compared USDT to MUSD as a radical departure from custodial models.
MUSDv1 offers a new borrowing method, in which users define their interest rates, undercollateralised loans can be redeemed by third parties, and every position is verifiable via on-chain Proof-of-Reserves. The contracts are open-source, immutable, and request decentralised collateralisation through a set of smart contracts.
Hashlock’s audit follows this. Through manual reviews and supporting automated analysis, the code was found to be secure and constructed logically and clearly. Moria’s architecture minimises centralisation, reduces attack surface, and reflects strong adherence to best practices in secure protocol design. Issues discovered during the analysis were reviews, and applicable vulnerabilities are presented in the Audit Findings section of the report.
