Cracking the Code: Safeguarding Your DeFi Lending Journey

Image Credit: Everwork. Aranca Feb 26, 2024 By: Bhumi Shrivastava

Navigating Risk

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LTV Ratio

[{"selector":"#anim-430cbffb-9b5f-4743-9330-b12c2fa3a6e4","keyframes":{"opacity":[0,1]},"delay":0,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-d1c7130d-ab06-405b-9302-289daf11f21d","keyframes":{"transform":["translate3d(-115.12345%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-e094ee54-329e-4ffb-a93b-3de0fbe9e917","keyframes":{"opacity":[0,1]},"delay":300,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-47fee71c-ab09-4cee-9b81-5e7152309335","keyframes":{"transform":["translate3d(-115.28663%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":300,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-5ec47a02-182e-4e0b-8d17-00093da183d1","keyframes":{"opacity":[0,1]},"delay":0,"duration":500,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-669ec5c9-8f7d-48b3-bf2a-a9728f68ca51","keyframes":{"transform":["translate3d(-97.00748%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":500,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-e7a22fa6-72af-44f9-b557-39a1c02754f3","keyframes":{"opacity":[0,1]},"delay":0,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-874ad87f-5656-440e-a786-11a095edf199","keyframes":{"transform":["translate3d(-175%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] Gauge loan risk with a simple ratio, balancing borrowing needs with collateral value. Image Credit: NoBroker

Collateralization

[{"selector":"#anim-c70e2033-3349-4ba7-a68f-894ffb63a49d","keyframes":{"opacity":[0,1]},"delay":0,"duration":500,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-d9c8be6b-ea0d-4431-8517-ce8712f86ca3","keyframes":{"transform":["translate3d(-115.18988%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":500,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-8a665f27-ba86-48f5-84dd-498b13d8d591","keyframes":{"opacity":[0,1]},"delay":300,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-119fab53-88c5-468d-a8d9-7d9a5719a93f","keyframes":{"transform":["translate3d(-115.2381%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":300,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-834cee77-80f3-47d3-848c-a4b8458090bc","keyframes":{"opacity":[0,1]},"delay":0,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-2359dce2-a8ae-4ec7-8fff-7f51a372e523","keyframes":{"transform":["translate3d(-172.03791%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":800,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-7bbc0dcb-904c-4115-ad07-382def326ea9","keyframes":{"opacity":[0,1]},"delay":0,"duration":500,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-a7860678-60b7-406c-9a05-eec93a000641","keyframes":{"transform":["translate3d(-89.69555%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":500,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] Ensure safety nets for lenders by requiring sufficient collateral to cover potential losses. Image Credit: DailyCoin

Interest Rewards

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Collateral Assets

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Diversification

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Regulatory Awareness

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[{"selector":"#anim-7950b0da-e25e-4299-9136-e2528a475dee","keyframes":{"transform":["scale(1)","scale(1.5)","scale(0.95)","scale(1)"],"offset":[0,0.33,0.66,1]},"delay":0,"duration":1450,"easing":"ease-in-out","fill":"both","iterations":1}] Next: Bitcoin's Big Moment: 5 Key Updates This Week See more