TheWordWeaver_ (ghostpen)

Learn Key Collateral Metrics And Concepts You Need To Know in 120 Secs 🔸 Collaterization Ratio: It is the value of collateral divided by Loan amount × 100. Helps you determine how much you can get for your collaterals For example If you can only get a $100 loan for a $150 Eth as collateral, that's 150% collaterization ratio 🔸 Liquidation Threshold: The point where your collateral is sold to cover the loan (Maker DAO is 130%) That is, if your collateral (Value) drops to $130, you risk liquidation if you don't add more ETH or pay back part of the loan Varies by asset type and protocol 🔸 Loan-to-Value (LTV) Ratio It's the inverse of the collaterization ratio It indicates how much you can borrow against your collateral E.g A 66% LTV means you can borrow $66 for $100 collateral 🔸Oracles Third-party services (e.g Chain link) that provide real-time price feeds to ensure accurate collateral Value Like and Retweet if you find this helpful

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GM Market is back to green after Binance dumped 8k BTC on us I said there would be a retracement soon, not knowing this would happen So, would you bid at this level or do you think the sell isn't done?

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Learn what and how to Loop in 90 Secs with me ------------------------------------ Looping is a DeFi strategy where users repeatedly use borrowed assets as collateral to amplify returns by using the same funds multiple times Here's how it works 🔸 Deposit Collateral: Supply an asset ( e.g USDC) to lending platform. In this case, Euler Prime 🔸 Borrow Against it; Use the collateral to borrow another asset, USDT, while maintaining a safe LTV Ratio (I made a post on this yesterday) 🔸 Repeat: Supply the borrowed asset back to the pool,borrow again, and cycle to increase yields 🔸 Monitor: Adjust based on APR, rewards, and market conditions With looping, You benefit 🔸High returns 🔸Compounded Gains 🔸Access flexibility

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zKGM my bro What's the alpha for the day

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