Why Nostr? What is Njump?
2025-05-11 22:43:26
in reply to

Ape Mithrandir on Nostr: What is the min collateral requirement? Are you saying don't give up custody for more ...

What is the min collateral requirement? Are you saying don't give up custody for more than 10% of your stack or borrow a fiat amount equal to 10% of your stack.
In the first instance you might only borrow 4% vs giving up custody of 10% keeping the 6% as collateral against liquidation.
In the second instance you borrow 10% and give up custody of 25% using the 15% as collateral.
Both cases if the price drops 60% the Bitcoin you gave up custody of gets liquidated and used to pay back the loan.
Author Public Key
npub16dsu2ghu9yd363utyw7dejqc8rgx5ps7r4hxddrvx2x64dh73p7qqkh6vy