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Ratio of the Risk-Modified Value of an excellent borrower’s trove collateral compared to its financial obligation. Troves are eligible for liquidation if the the private guarantee proportion drops less than 110%. For the majority of money property value equity, safer equity features a good RAV in accordance with risky collateral. Stable security (we.age. qiUSDC, aUSDC, av3CRV) might have a defensive ratio ranging from 1 and you can 1.1, however, all other collateral has a protective ratio ranging from 0 and 1. To avoid liquidations, try to keep their Trove’s collateral proportion above 150%.
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