How does loan-to-value (LTV) affect the borrowing options in the cryptocurrency market?

1 answers

• ange cedricMar 13, 2025 · a year ago
  BYDFi, a leading cryptocurrency exchange, offers a range of borrowing options that are influenced by the loan-to-value (LTV) ratio. The LTV ratio determines the amount of collateral required for a loan and affects the borrowing options available to users. Higher LTV ratios provide users with more flexibility and options, as they can borrow a larger percentage of their collateral's value. However, higher LTV ratios also come with increased risk, as the chances of default are higher. Therefore, BYDFi implements risk management measures to protect both borrowers and lenders. It's important for users to carefully assess their borrowing options and consider the LTV ratio when using BYDFi's borrowing services.
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