reserve factor ? @officialjustlend

Asked 1085 days ago
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reserve factor ?

asked 1085 days ago

1 Answers

The reserve factor is an important part of managing risk in a trading system. It is the percentage of the total value of the assets that must be held in reserve in order to cover any potential losses from liquidations. In this case, the reserve factor for BTC is 5%, which means that the total value of the supplied asset (USDT) must be at least 750 minus 5% when the liquidation triggers. This reserve factor helps to ensure that the system is not exposed to too much risk and that any losses from liquidations can be covered. It is an important part of risk management and should be taken into consideration when setting up a trading system.
answered 1085 days ago
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yes in your example Btc reserve factor is 5%, which means ur supplied asset Usdt must be 750 minus 5% when the liquidation triggers
answered 1085 days ago

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