To blow up a dam could be much too risky (3)

I believe the answer is:

mad

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'be much too risky' is the definition.
I can't judge whether this definition defines the answer.

'to blow up a dam' is the wordplay.
'to blow up' is an anagram indicator.
'dam' is an anagram of 'MAD'.

'could' is the link.

Can you help me to learn more?

(Other definitions for mad that I've seen before include "Crackers" , "Crazy" , "Berserk" , "Roused to anger" , "Deranged" .)

I've seen this clue in the Evening Standard.

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