Risk Parameters

Parameters to manage liquidation risk

Concepts

• Loan to Value - Maximum amount of assets that can be borrowed with a specific collateral.

• Liquidation Threshold - Maximum percentage of value that can be borrowed against it.

• Liquidation Bonus - Bonus received by the liquidator that covers an under-collateralization.

• Reserve Factor - Bonus received by the protocol when value is withdrawn.

These values are subject to change, as the Lendfinity DAO will be able to make proposals to update them.

These are the Risk parameters for each asset:

Asset	Base LTV	L. Threshold	L. Bonus	Reserve Factor	Strategy
WBFT	75%	80%	5%	10%	Volatile
CHAPX	75%	80%	5%	10%	Volatile
ICP	75%	80%	5%	10%	Volatile
ckBTC	75%	80%	5%	10%	Volatile
ckETH	75%	80%	5%	10%	Volatile
ckUSDT	75%	80%	5%	10%	Stable #2
ckUSDC	75%	80%	5%	10%	Stable #2
SONIC	50%	80%	5%	10%	Volatile
DKP	75%	80%	5%	10%	Volatile
GLDT	75%	80%	5%	10%	Volatile
RICH	50%	75%	5%	10%	Volatile