Liquidations

To maintain the health of the protocol, accounts with a “Health Factor” falling below 1 will face liquidation.

During liquidation, your position will be repaid by the liquidator which will in turn receive some of your collateral, so they do not make a loss and the protocol remains healthy.

A borrower’s Health Factor is derived from the combination of their total LTV and the Liquidation Threshold of each asset

Health = Collateral * Threshold / Debt

Please monitor your position and use the platform responsibly.