𝗗𝗘𝗙𝗜 𝗥𝗜𝗦𝗞 𝗗𝗢𝗘𝗦 𝗡𝗢𝗧 𝗘𝗡𝗗 𝗪𝗜𝗧𝗛 𝗖𝗢𝗟𝗟𝗔𝗧𝗘𝗥𝗔𝗟
Collateral is only one part of the risk involved in decentralised lending.
JustLend's risk documentation also identifies smart-contract vulnerabilities, oracle dependencies and market-related risks as factors users should understand.
A position can be correctly collateralised and still depend on accurate price information, functioning contracts and sufficient market liquidity.
This is why users should assess the broader protocol environment instead of focusing only on a borrowing ratio.
Risk awareness should be part of every decision to supply, borrow or interact with a DeFi application.
No single metric can describe every risk in a financial protocol.
@JUST DAO
@Justin Sun孙宇晨
#TRONEcoStar
Collateral is only one part of the risk involved in decentralised lending.
JustLend's risk documentation also identifies smart-contract vulnerabilities, oracle dependencies and market-related risks as factors users should understand.
A position can be correctly collateralised and still depend on accurate price information, functioning contracts and sufficient market liquidity.
This is why users should assess the broader protocol environment instead of focusing only on a borrowing ratio.
Risk awareness should be part of every decision to supply, borrow or interact with a DeFi application.
No single metric can describe every risk in a financial protocol.
@JUST DAO
@Justin Sun孙宇晨
#TRONEcoStar
