π¦What price drop would it require for my xPOSITION to be rebalanced/liquidated?
f(x) Protocol prevents leverage traders from being liquidated by rebalancing the positions before liquidation would be required. The LTV at which the protocol rebalances or liquidates the xPOSITION is set by governance (see Risk parameters). The price distance to reach the rebalancing LTV depends on the leverage level the user chooses. You can find some examples of price drops required to reach the rebalancing line or liquidation line according to the leverage of an xPOSITION below.
Leverage
Price drop to rebalance (LTV=88%)
Price drop to liquidation (LTV=95%)
2
-43.18%
-47.37%
3
-24.24%
-29.82%
4
-14.77%
-21.05%
5
-9.09%
-15.79%
6
-5.30%
-12.28%
7
-2.60%
-9.77%
Learn more about the rebalancing and liquidation process below.
πͺRebalancing the Position (Liquidation Brake)PreviousWhat is the difference between f(x) Protocol V1 and V2?NextHow to open a leverage position (xPOSITION)
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