How Can I Reduce the Risk of Liquidation?
Start with a conservative LTV, keep collateral available and act on warnings early.
Updated
Digital asset prices can move quickly. A few simple practices give your loan far more room to absorb volatility.
- Borrow at a lower LTV than the maximum. Every point below the limit is a buffer against falling prices.
- Keep some additional collateral available so you can top up quickly if you receive a warning.
- Enable notifications and act on the first warning rather than waiting for a margin call.
- Make partial repayments when you can; each one lowers your LTV permanently.
Your live LTV, the distance to each threshold and the amount needed to return to your origination level are all shown on the loan page in your dashboard.
