Liquidations
Liquidations will occur when a position's LTV Ratio equals or exceeds the Base Liquidation Threshold or Max Liquidation Threshold. When users are liquidated, the DAO repays the users' pETH/PUSd debts by burning pETH/PUSd in the DAO. User can elect to insure their position to avoid immediate liquidation.
Liquidated NFTs will typically go up for auction, and more details are available in the Auctions section of the documentation.
For uninsured positions with an active LTV Boost and/or Traits Boost, the locked $JPEG Tokens for the boost(s) will be burned instantly if liquidated.
For insured positions with an active LTV Boost and/or Traits Boost, the locked $JPEG Tokens for the boost(s) will be burned if the position is not repaid within the grace period.
Repay a liquididated NFT
Last modified 12d ago