šŸš€Leverage

ZEBRA Protocol can offer a collateral ratio as low as 130% by making liquidations immediate and more efficient. This allows ZEBRA Protocol to require less collateral while still providing the same level of security as similar protocols that rely on slow auction processes to sell off collateral during liquidations.

Users have the option of selling the zbrUSD you minted on the exchange for collaterals, then deposit and increase the collateral ratio in the Trove. This allows users to mint and sell more zbrUSD, and by repeating this process you can reach your desired leverage level.

The maximum leverage ratio you can achieve is 4.33x, which is calculated by the formula:

MaximumLeverageRatio(MLR)=MCRMCRāˆ’100%=130%130%āˆ’100%=4.33Maximum Leverage Ratio(MLR) = \frac{MCR}{MCR-100\%}=\frac{130\%}{130\%-100\%}=4.33

where MCR is the Minimum Collateral Ratio.

Max leverage is only an EXTREMELY AGGRESSIVE example, leverage is for experienced users ONLY.

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