FAQ

• How is the risk value calculated？

  Risk value = （Total assets/（Total debts×liquidation value））×100.The total assets refers to the number of transaction pairs that are planned to be put into the liquid mine pool. According to the pool trading depth of this transaction, SWAP to corresponding number of lending Token currencies. The total debts refer to the sum of the amount of interest generated by borrowing Token.

• The added assets into position can be used to participate in mining?

  The added assets is used as 1x leverage to participate in mining

• How are borrow interest rate and prepayment rate calculated?

  Users can borrow and repay the loan on BACK at any time they want. The interest rate is automatically calculated by algorithms. In principle, it is dynamically adjusted based on deposits, loans and fund utilization rate in the pool.

• How to earn liquidation bonuses?

  When a position’s debt ratio exceeds a predetermined threshold, anyone can liquidate the position at risk. By doing that, we can protect the rights and interests of our users by avoiding default risk. A liquidator can earn 5~8% of the liquidated position value as his/her bonus.

• What will happen to users after liquidation?

  When a liquidation takes place, the position held by the user is first used to pay the bonus to the liquidator, then to pay the debt. The rest (if there is any) goes back to the user’s wallet.

• How to lower the risk value below 100%?

  Users can either add position or repay part of the debt to lower the risk of being liquidated.