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Why is everyone thinking it's a good thing? They are

paying down loans, that they allegedly used to farm yield with. And yet, your rates literally stayed the same (kinda fishy). It's a beginning of an end.

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Can you elaborate a little bit more? Thanks

The alternative is that no debts were being paid off and they were liquidated, which looks better??

If they are paying down loans, it means they are solvent and avoiding bankruptcy. Also, when paying loans, they recover their collateral — become more solvent.

teeron- Автор вопроса
Alejo Z
If they are paying down loans, it means they are s...

but they didnt lower rates to make it believable. So everything is fucked behind scenes.

teeron
but they didnt lower rates to make it believable. ...

They might be lowering them in the coming week or so ! one step at a time could be ??

teeron- Автор вопроса
Alejo Z
If they are paying down loans, it means they are s...

Looks like they are scrounging for cash to unlock collaterall that is worth more than debt, doesn't scream solvency. If they were solvent, they could just repay the loan to match withdrawals

Maybe they get new money injection to pay down these loans? So the money used for earning yields are still there

teeron
but they didnt lower rates to make it believable. ...

That could be interpreted backwards —they think they can honour the rates, so no need to lower them LOL

teeron- Автор вопроса
Alejo Z
That could be interpreted backwards —they think th...

How can they honor same interest rates with less money to generate same yield.

teeron
How can they honor same interest rates with less m...

We don't know what is going on behind the scenes/ how they are restructuring/ if they have new investors.

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