Wen is hard liquidation hit? If you take out a

Question

Wen is hard liquidation hit? If you take out a

89% LTV loan, and 12% of your capital is eroded from liquidation/deliquidation over time, then your loan would be under collateralized even if it held entirely in crvUSD in the AMM. So surely hard liquidation is hit before this, and it looks like the contract uses health > 0 to avoid this?

So if you take out an 89% LTV loan that has a 6% liquidation discount, does your health = 0 wen 5% of your collateral is lost?

#curve #de-fi #english

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21.05.2023

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Dan Smith | Blockworks Research · Answer 1

Dan Smith | Blockworks Research Автор вопроса

Anyone know the answer here?

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22.05.2023

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