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Larry-

Okay, so if the value of the stock increases then

I need to keep depositing more collateral in my vault to prevent my collateral from coming up for auction. If i fail to do so then people can 'bid' to pay back my loan and get all the collateral. The fact that we have a minimum over collateralization means people will always have incentive to bid to close the loan, since the collateral will be worth more. Sound anywhere close? lol

#blockchain #cryptocurrency #defichain #english
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Andreas-

The over collateralization could be much higher, too.

0
08.10.2021
Larry- Автор вопроса
Andreas
The over collateralization could be much higher, t...

Right, I think the lowest I saw was 150%

0
08.10.2021

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