LogoLogo
  • Welcome
    • TezFin (tezos.finance)
    • Mission
    • Audit Report
    • More resources
  • Getting Started
    • Lending (supplying)
    • Collateralizing
    • Borrowing
    • Repaying
    • Uncollateralizing
    • Withdrawing
  • Liquidation
    • Collateral Ratio
    • Monitoring Your Health
    • What Can Cause Liquidation
    • Tips to Avoid Liquidation
    • Who Liquidates
Powered by GitBook
On this page
  1. Liquidation

Tips to Avoid Liquidation

PreviousWhat Can Cause LiquidationNextWho Liquidates

Last updated 1 year ago

  • Regular Monitoring: Keep an eye on the market values of both your collateral and the borrowed currency. Be mindful of how accruing interest impacts your overall debt. (See:

  • Create a Buffer: Consider borrowing below the maximum allowed to give yourself a cushion against market changes and interest accumulation.

  • Increase Your Collateral: If market movements put your borrowings at risk of exceeding the platform's safe threshold, adding more collateral can help secure your position.

  • Reduce Your Borrowings: Lowering the amount you've borrowed, either regularly or in anticipation of market volatility, can help keep your borrowings within a safe range against your collateral.

Monitoring Your Health)