Trading Notes | Decentralized Lending
① Each type of collateral has its own loan-to-value ratio (LTV). For example, with an LTV of 75%, assets worth $100 can be used to borrow up to $75.
② Depositors receive tokens representing their deposits, such as aTokens in Aave V3 and cTokens in Compound V2.
③ Don’t borrow up to the limit. Keep the health factor comfortably above 1 to allow room for price fluctuations.
$AAVE 129.12(-2.14%)

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