A ratio that measures the safety of a borrowing position in a lending protocol, calculated as the risk-adjusted collateral value divided by the total borrow value. A health factor above 1 means the position is safe; at or below 1, the position becomes eligible for liquidation. Users monitor health factor to avoid liquidation, and protocols display it prominently as the primary risk indicator.
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0 termos visitados no totalA DeFi protocol that enables users to deposit tokens to earn yield and borrow tokens again…
Ver termo →The process of repaying a borrower's debt by selling their collateral when their position'…
Ver termo →Assets deposited into a lending protocol to secure a loan. Each asset has a collateral fac…
Ver termo →Loan-to-Value ratio—the percentage of collateral value that can be borrowed. Each lending …
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