C-Ratio Strategies
Please note that the Target C-Ratio is subject to change based on community feedback. For the most up to date Target C-Ratio, visit the Network Stats page.
Horizon Protocol offers three preset strategies for managing your Collateralization Ratio (C-Ratio), catering to different risk levels:
Conservative Strategy (Lower Risk)
Target C-Ratio: 1000% (Maintaining a comfortable safety margin)
Purpose: To maintain a safe buffer above the target C-Ratio.
Benefits: Lower risk of liquidation but yields fewer rewards.
For: Users who prefer a safer approach and don't want to monitor their positions closely.
Neutral Strategy (Moderate Risk)
Target C-Ratio: 800% (closer to the default)
Purpose: Balancing risk and rewards.
For: Users seeking a middle-ground approach between safety and reward maximization.
Aggressive Strategy (Higher Risk)
Target C-Ratio: 600% (default)
Purpose: To maximize rewards by staying close to the target C-Ratio.
Risk: Higher risk due to a smaller buffer zone before liquidation.
For: Users who actively manage their positions and aim for maximum rewards.
Choose a strategy based on your risk tolerance and how actively you can monitor your holdings.
Please note that the Target C-Ratio is subject to change based on community feedback. For the most up to date Target C-Ratio, visit the Network Stats page.
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