Operational risk —defined as the probability the platform itself fails regardless of underlying asset— is the least discussed and one of the most relevant factors in the category.
Variables to evaluate:
- **Track record:** years operating, number of projects closed with effective returns. - **Communication in tough times:** how did the platform act when a project underperformed? - **Team:** turnover, founder profile, incentive alignment. - **Regulatory compliance:** explicit framework vs. gray-zone operation. - **External audit:** is there a recognized auditor signing annual financial statements? - **Operational reports:** are they published per project or only aggregated?
When two or more of these are weak, operational risk exceeds asset risk.