Hi ! can someone explain me how liquidation works? my

Question

Hi ! can someone explain me how liquidation works? my

margin call is at 1.85 CEL , and liquidation at 1.5 CEL , if i get a margin call and i do not rebalance are they going to liquidate me at 1.5 even if the price never reach 1.5?

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23.01.2022

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pko lobo Автор вопроса

Alexander Adam
1.85 CEL Price -> Margin Call Level is the level w...

thanks

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23.01.2022

Alexander Adam · Accepted Answer

1.85 CEL Price -> Margin Call Level is the level where you will be informed by Celsius that you are at risk of getting liquidate (Celsius is selling your Collateral) to equal the loan you took, if the price reaches 1.5 CEL (only than) Due to the Market Volatility, Celsius is informing you ahead of time, telling you what would be "wise" to do, to prevent the "automated" liquidation price. In case you don't reduce your loan exposure: Celsius can only protect you from certain market behaivor. If the Market Volatility is to extrem, (even Over collaterized loans, based on your individual LTV Level) are in danger.

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