but I haven't been able to find something solid about it in Mirror docunents: in case of UST de-pegging, if I have borrowed assets will Mirror still assume that 1 UST = 1 USD for the purposes of collateralization?
In other words if I have put up 2,000 UST as collateral for 1,000 worth of SPY and UST goes to 0.75 will Mirror still see my collateral as 2,000 USD or will it see it as 1,500 USD based on market price and margin call me?
Good question, I’ve been thinking about this too! Curious to see the answer
There is still a risk that people will run to purchase mAssets with their UST which might lead to de-pegging of the mAssets as well from the Orackle prices potencially getting you margin called this way. However I personally see it as a lesser risk as mAssets only trade during market hours and I can see what's going on there ana unwind the positions. The risk that I described above is something that could have happed while I sleep which is not nice... :)
Ok thank you for your responses!
This issue has already been addressed many times here. Short answer for mirror protocol 1 UST = 1 USD. There is no risk of margin call in case of a short UST depeg. But (in my opinion) If the depeg is prolonged in time there would be a problem with oracle price and real price. But but but I won't be important because all terra ecosystem must be crushing and you would lost your funds in mirror anchor or any other terra dapp anyway
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