collateral. Or is the case of loss of stakd asset Ltd to time of volatility?
Can someone enlighten me please?
What do you mean exactly? In what scenario would the protocol liquidate collateral vs. deploying RSR (for insurance purposes)?
Liquidation of Undercollaterised positions instead selling stakers assets to retrieve debt
So you propose automatically redeeming stablecoin users for less than $1 per RToken? Why would that be useful? Who would want to use a stablecoin that accepts de-pegs?
Do you you understand how maker or aave liquidation Works ?
I do. The difference with Maker is that DAI is overcollateralized. RSV (or any other RToken) is 100% collateralized.
100 collaterised asset it's pegging to or different asset? What I mean is rsv is collateralised by another stable coin or by volatile asset
RSV is collateralized by 1/3rd USDC, 1/3rd USDP & 1/3rd TUSD. But that's really just a simple version if what RTokens can become in the future. Here's some useful links that you may find interesting: - How RSV works: https://reserve.org/protocol/how_rsv_works/#main-content - What are RTokens?: https://reserve.org/protocol/rtokens/#main-content
If you prefer video. https://youtu.be/9omWRDjQPlE
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