Rather than assume I tried tracing both liquidation paths side by side today the permission less call and the permission one to see what actually differs beyond the name.
liquidate With LLP requires nothing beyond a health factor below 1.0. Any address can call it instantly settled in WBTC through the LLP no registration needed anywhere in the process. liquidate requires being a registered AVK holding an actual Bitcoin redeem key going straight to native BTC redemption without the WBTC intermediate step at all.
First real difference: who can even attempt the call. Second: what actually gets redeemed at the end WBTC now or native BTC later through a genuinely different settlement path entirely.
What stays constant either way: the borrower's debt gets settled and the underlying collateral gets seized regardless of which specific door someone walked through to make it happen.
Open and instant or restricted and direct. Neither one is strictly better they're built for genuinely different liquidity conditions and having both available is the actual point.$HEI $BANK
@BabylonLabs_io $BABY #baby #BTC #writetoearn